IRS $600 Rule for Electronic Payments

In this episode I visit Turkeyton Falls in Redding, CT and discuss and article from CNN concerning a new rule issued from the IRS to electronic payment vendors.

In Brief, these electornic payment vendor platforms are now required to issue 1099's to everyone who has business transactions total more than $600 cumulatively. This may capture some reimbursement payments or other forms of payments. DON'T ignore these 1099's ask a tax professional about how to handle them. In this video I make a suggestion of recognizing the income and then recoginizing a nontaxable negative income for the same amount this way it shows up on your return but you are not taxed on it.

Watch the video for details.

CNN Article:
https://www.cnn.com/2021/11/09/succes...

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