BIGPETE
Level 3
08-07-2022
08:09 AM
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Does anyone else see a problem with the new tax rules for receiving a 1099-K for amounts over $600 in 2022? If I sent my kids a birthday or Christmas gift of $1000 on VENMO would they have to show this as income on their tax return?? How do you differentiate between business income as opposed to it being a gift or reimbursement? Thanks for your help
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rbynaker
Level 14
08-07-2022
09:39 AM
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When the IRS hires 87,000 new auditors they will have plenty of resources to track all of these down and determine what's taxable and what isn't.
Taxprohere
Level 7
08-07-2022
11:03 AM
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"How do you differentiate between business income as opposed to it being a gift or reimbursement?"
You ask your client. Expecting a lot more line 21 income and backing out on adjustments.
