03/01/2024
👉 If you received a Form 1099-K, don't panic! It's important to understand why you received it and how to use it correctly on your tax return.
💼 Use the form and your records to calculate and report your correct income. Even without Form 1099-K, if you received payments for goods, services, or properties, you must report your income. This includes cash payments, properties, goods, digital assets, or foreign sources or assets.
✅ Follow these steps for Form 1099-K:
1- Check the information on the form: Make sure your name and taxpayer identification number (TIN) are correct.
2 - Verify the gross payment amount: Ensure that the gross payment amount accurately reflects the payments you received.
3 - Check your records: Use your records, such as reports from payment apps or online markets, to confirm the accuracy of the gross payment amount and identify deductible expenses.
💰💡 Use Form 1099-K to help report your income correctly. How you report payments from Form 1099-K depends on the type of transaction you made. If you sold a personal item at a loss, you can zero out the reported gross income on the form. If you sold a personal item at a profit, you should report the profit as taxable income.
🔍📝 If you receive a Form 1099-K when you shouldn't or if it contains incorrect information, contact the issuer to obtain a corrected form. Don't wait to file your taxes - file your return even if you can't get a corrected form immediately.
Now that you understand what to do with Form 1099-K, you're ready to tackle tax season with confidence! 💼💰
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Contact Carrion, Do Carmo:
🏢 31-19 Newtown Ave, Ste 300 Astoria NY 11102
📞718 494 4499
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