The IRS is delaying a new tax filing rule that would require more users of digital payment platforms and e-commerce sites to report their transactions.
Normally, companies sent that form to users with more than 200 transactions exceeding $20,000. But with the new, lower threshold, it would apply to users with smaller businesses and side hustles,The IRS said 2022 "will be a transition period" for implementing the new threshold and more details on the delay will be shared "in the near future."What they're saying:
"The IRS and Treasury heard a number of concerns regarding the timeline of implementation of these changes under the American Rescue Plan," said acting IRS commissioner Doug O'Donnell in a"To help smooth the transition and ensure clarity for taxpayers, tax professionals and industry, the IRS will delay implementation of the 1099-K changes."
"The additional time will help reduce confusion during the upcoming 2023 tax filing season and provide more time for taxpayers to prepare and understand the new reporting requirements," he said."The law is not intended to track personal transactions such as sharing the cost of a car ride or meal, birthday or holiday gifts, or paying a family member or another for a household bill," the IRS said.
The delay will free the IRS from a whirlwind of additional paperwork and give opponents of the new rule more time to lobby for a change, the
Singapore Latest News, Singapore Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
IRS delays $600 tax reporting rule for Venmo, Etsy sellersCongress reduced the tax reporting threshold to $600 from $20,000 in 2021, and it was slated to affect people filing tax returns in the spring of next year.
Read more »
IRS conducted audits on Bidens, House passes requirement for mandatory IRS audit of presidentFor tax year 2021, the Bidens owed an additional $13. It could have been waived, the White House said, 'but they chose to pay.'
Read more »
Carlos Rodon put Yankees fans’ Venmo contributions to good useEarlier this month, Yankee fans found Rodon’s Venmo account and started contributing to it, mostly in $5-$10 amounts in an attempt to convince him to come to The Bronx.
Read more »
IRS to delay $600 payment platform reporting threshold, calls 2022 'transition period'Reporting requirements for third-party business transactions over $600, enacted by the American Recovery Act of 2021, have been delayed until 2023.
Read more »