Watchdog Calls for More Education for Companies on 1099-K Forms

Third-party settlement companies need more education to ensure they don’t incorrectly send 1099-K forms to taxpayers next year for personal transactions, National Taxpayer Advocate Erin Collins said Thursday.

“If it’s personal, we need to make sure they’re not getting those 1099-Ks,” Collins said at a conference hosted by the District of Columbia Bar.

• The IRS in December announced a one-year delay of a requirement for companies such as PayPal Holdings Inc. and eBay Inc. to send 1099-K forms to users with business transactions of more than $600. The $600 threshold now will take effect for next year’s filing season.
• Collins ...