Fact Sheet 2025-08 includes updated frequently asked questions regarding the dollar threshold for filing Form 1099-K under the OBBB.
The OBBB retroactively reinstated the reporting threshold in effect prior to the passage of the American Rescue Plan Act of 2021 (ARPA). Third party settlement organizations are not required to file Forms 1099-K unless the gross amount of reportable payment transactions to a payee exceeds $20,000 and the number of transactions exceeds 200.
Tax professionals should remind their clients that they may be issued Forms 1099-K if they received certain payments. The requirement to file a Form 1099-K can be triggered when payments are received for goods or services through a payment settlement entity.
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