Call it a holiday miracle. The IRS has decided, in the absence of Congressional action, to delay the implemtation of a law that would require payment servicing entities (PSEs) to file Form 1099-K (to taxpayers and the IRS) for anyone receiving over $600 in proceeds on their various platforms.
The delay is a welcome reprieve to tax professionals who were expecting enormous confusion among taxpayers who have been doing a small amount of online selling but have never received this form. It also may mitigate the possiblity of millions of additional CP2000 “matching notices” for taxpayers who weren’t aware of the new lower threshold and failed to