Do you pay income tax to the IRS when using a Square reader if you don't meet their 1099-k requirements?
When using the Square reader, is it considered taxable income? I don't meet Square's requirements for the 1099-k so it's a bit of a grey area for me. I just need to know if I need to prepare to make a payment to the IRS for these transactions?!
(1)1 Comments
Sorted by latest first Latest Oldest Best
If the money you receive via Square is taxable income, then the IRS will want you to report it regardless of whether you get a 1099-K from Square.
Just because you receive the money via Square doesn't make it taxable -- if a friend borrows 0 from you and pays you back via Square, that's not taxable income. If you sell jewelry for 0 to someone, and they give you the money for it via Square or a check, then it is taxable income.
Terms of Use Privacy policy Contact About Cancellation policy © freshhoot.com2025 All Rights reserved.