This 1099 K Form 2026 guide explains the IRS Payment Card and Third Party Network Transactions. Form 1099-K reports payment activity under the payment-card and third-party network rules. It is not a calculation of net business profit. Gross payment reporting can differ from the amount ultimately deposited after fees, refunds and adjustments, and a sale of personal property requires its own gain-or-loss analysis.
Reviewed October 31, 2026. This is an independent guide. The version and availability information below identifies the IRS documents used for this page.
What 1099 K Form 2026 does and who prepares it
A payment settlement entity reports qualifying payment transactions; the recipient reconciles the statement with business or personal records.
For the connected reporting route, see Form 1040 (Schedule C). Keep the role of that document separate from the task explained on this page.
| Official form | Form 1099-K |
|---|---|
| IRS title | Payment Card and Third Party Network Transactions |
| Guide period | 2026 |
| Target version | Dec 2026 |
| Availability | Current IRS catalog PDF |
| Last checked | October 31, 2026 |
Get the 1099 K Form 2026 PDF and check its status
Use the IRS source to confirm the document before completing a real filing. The download link is a reference to the official file; it is not a statement that every copy inside the PDF may be printed and submitted. Follow any instructions about electronic filing, scannable copies, recipient copies or attachments.
Which version of 1099 K Form 2026 should you use?
The 2026 in the title identifies the tax year or calendar-year information addressed by this guide. For a 2026 income reporting document, the preparation or filing activity may occur in 2027. Do not change the income year simply because the calendar has changed. The exact filing or furnishing date comes from the instructions for this form and the filer circumstances.
Records to gather for 1099 K Form 2026
- Payment-platform transaction export.
- Refunds and chargebacks.
- Processing fees.
- Invoices and sales ledger.
- Personal-property purchase and sale records.
Keep a working reconciliation with these records. It should show the source of each reported item, any correction made before filing and the reason a different amount appears on a connected form. This is especially useful when a statement is corrected or a prior-year balance continues into the current calculation.
How to work through 1099 K Form 2026
- Identify the issuer and recipient. Check which person or entity prepares the information return and which person receives a statement. Use the correct copy and filing route for that role.
- Reconcile the underlying records. Compare the statement with the transaction, payroll, account or payment records. Resolve duplicate reporting and unexplained differences before carrying a total into a return.
- Read boxes and codes separately. Different boxes can describe different tax categories. A gross payment, a taxable amount, a withholding credit and an identifying code should not be combined as if they were one measure.
- Use the correct return treatment. An information return supplies facts. It does not independently establish every deduction, exclusion, credit or final tax result for the recipient.
- Address corrections at the source. Check the issuer correction process for an incorrect statement. If a related tax return has already been filed, review separately whether that return also needs a correction.
Form-specific IRS instructions and reporting details
The following points retain the operative wording of the IRS documents linked above. Read each point with its stated conditions and the applicable form version. References to another form or section describe a connected requirement; they do not mean that every reader must file every referenced document.
For the latest information about developments related to Form 1099-K and its instructions, such as legislation enacted after they were published, go to IRS.gov/Form1099K. You can get Pub. 1099, General Instructions for Certain Information Returns, at IRS.gov/1099GeneralInstructions.
What’s New Exceptions for reporting of third party network trans actions. The reporting requirement for these transactions has changed. A third party settlement organization (TPSO) is required to report payments in settlement of third party network transactions with any participating payee that exceed $20,000, and the total number of such transactions exceeds 200. See Exception for de minimis payment, later, for more information. Address fields. For the Filer’s and Payee’s information, we separated the address fields into individual entry boxes. New box 1c. P.L. 119-21, section 70201, requires the reporting of cash tips.
This new box was added to facilitate this reporting requirement for Form 1099-K. For more information, see the specific instructions for box 1c, later. New box 1d. Use the Treasury Tipped Occupation Code(s) to identify the tipped occupation(s) for Form 1099-K. For more information, see the specific instructions for box 1d, later.
Additional reporting conditions
Reminders General instructions. In addition to these specific instructions, you should also use Pub. 1099, General instructions include information about the following topics. • Who must file. • When and where to file. • Electronic reporting. • Corrected and void returns. • Statements to recipients. • Taxpayer identification numbers (TINs). • Backup withholding. • Penalties. • Other general topics. Online fillable Copies 1, B, and 2. To ease statement furnishing requirements, Copies 1, B, and 2 of Form 1099-K are fillable online in a PDF format, available at IRS.gov/ Form1099K.
You can complete these copies online for furnishing statements to recipients and for retaining in your own files. Third party reporting. For more information on third party reporting, go to IRS.gov/Tax-Professionals/Third PartyReporting-Information-Center-Information-Documents.
Check the first (top) box in the section immediately below the state or province, country, and ZIP or foreign postal code boxes if the entity with the filing requirement (payer) is a PSE. Check the second (bottom) box if the entity with the filing requirement (payer) is an EPF or other third party. If the entity with the filing requirement (payer) is an EPF or other third party, enter the PSE’s name and telephone number in the box above the “Account number” box at the bottom left of the form.
The telephone number must allow a payee to reach a person knowledgeable about the payments reported on the form.
Calculations and supporting information
Check the first (top) box if you are reporting payment card transactions on this form. Check the second (bottom) box if you are reporting third party network transactions on this form.
The account number is required if you have multiple accounts for a payee for whom you are filing more than one Form 1099-K. Additionally, the IRS encourages you to designate an account number for all Forms 1099-K that you file. See part L in Pub. 1099.
Enter in box 1a the gross amount of the total reportable payment card/third party network transactions for the calendar year. “Gross amount” means the total dollar amount of total reportable payment transactions for each participating payee without regard to any adjustments for credits, cash equivalents, discount amounts, fees, refunded amounts, shipping amounts, or any other amounts. The dollar amount of each transaction is determined on the date of the transaction.
Exception for de minimis payments. A TPSO is required to report any information concerning third party network transactions of any participating payee only if for the calendar year: • The gross amount of total reportable payment transactions exceeds $20,000, and • The total number of such transactions exceeds 200. For examples of reportable payment transactions, including responsible filing parties, see Regulations section 1.6050W-1(e).
Exceptions and related reporting
Enter in box 1b the gross amount of the total reportable payment card/third party network transactions for the calendar year where the card was not present at the time of the transaction or the card number was keyed into the terminal. Typically, this relates to online sales, phone sales, or catalogue sales. “Gross amount” means the total dollar amount of total reportable payment transactions for each participating payee without regard to any adjustments for credits, cash equivalents, discount amounts, fees, refunded amounts, shipping amounts, or any other amounts.
The dollar amount of each transaction is determined on the date of the transaction.
Enter the four-digit merchant category code (MCC) used by the payment card industry to classify the payee for the payment card transactions reported on this Form 1099-K. If you or the entity on whose behalf you are filing uses an industry classification system other than, or in addition to, MCCs, assign to each payee an MCC that most closely corresponds to the description of the payee’s business.
Note: If you or the entity on whose behalf you are filing is a TPSO or does not use any industry classification system for its payees, you should not complete this box. If a payee has receipts classified under more than one MCC, you may either: • File separate Forms 1099-K reporting the gross receipts for each MCC, or • File a single Form 1099-K reporting total gross receipts and the MCC which corresponds to the largest portion of the total gross receipts.
Further form details
Enter backup withholding. Persons who have not furnished their TINs to you in the manner required are subject to backup withholding on payments required to be aggregately reported in box 1a. A payment made by a TPSO is a reportable payment potentially subject to section 3406 backup withholding. For more information on backup withholding, including the applicable rate, see part N in Pub. 1099.
These boxes may be used by filers who participate in the Combined Federal/State Filing Program and/or who are required to file paper copies of this form with a state tax department. See Pub. 1220 for more information regarding the Combined Federal/State Filing Program. They are provided for your convenience only and need not be completed for the IRS. Use the state information boxes to report payments for up to two states. Keep the information for each state separated by the dash line.
If you withheld state income tax on this payment, you may enter it in box 8. In box 6, enter the abbreviated name of the state. In box 7, enter the filer’s state identification number. The state number is the filer’s identification number assigned by the individual state. If a state tax department requires that you send them a paper copy of this form, use Copy 1 to provide information to the state tax department. Give Copy 2 to the payee for use in filing the payee’s state income tax return.
Reading the lines and boxes
These selected labels come from the linked target PDF. They are a reading aid, not a replacement for the full line instructions or a completed calculation. Match the label and document version before transferring any amount.
| Line or box | Label in the source form | What to check |
|---|---|---|
| 1b | Card Not Present | Check the applicable line instructions and keep the source workpaper with the return records. Transfer only the information that matches the field and reporting period. |
| 2 | Merchant category code | Check the applicable line instructions and keep the source workpaper with the return records. Transfer only the information that matches the field and reporting period. |
| 4 | Federal income tax withheld | Reconcile the relevant payment or withholding record with the tax period and category requested here. A reported payment is not necessarily the final tax liability. |
| 6 | State income tax withheld | Reconcile the relevant payment or withholding record with the tax period and category requested here. A reported payment is not necessarily the final tax liability. |
A practical example
An online seller compares a payment-platform statement with invoices, returns and platform fees. The seller identifies business receipts separately from any personal transactions and explains the difference between the gross statement amount and the bank deposits before completing the business schedule.
This example illustrates the order of the review. It does not assume an unverified deduction, exemption, treaty rate or final tax amount. The applicable form instructions and the actual records determine the result.
Common mistakes to avoid with 1099 K Form 2026
- Do not report the same sale again because it appears on more than one statement.
- Separate gross transaction reporting from deductible expenses and net profit.
- A reporting threshold does not determine whether an underlying transaction is taxable.
Questions about 1099 K Form 2026
Does receiving or downloading this form mean I must file it?
A payment settlement entity reports qualifying payment transactions; the recipient reconciles the statement with business or personal records. The form purpose and the applicable filing or furnishing conditions determine the action. Downloading a blank PDF does not itself create a filing obligation or establish eligibility for a tax benefit.
Is the revision date always the same as the tax year?
No. Some forms show a tax year, while continuing-use forms show a revision date and ask separately for the reporting period. Check the actual document and instructions. Do not relabel a payment or transaction solely because it was reported in a later calendar year.
What should I do if the underlying information is wrong?
Do not report the same sale again because it appears on more than one statement. Keep the original record and the correction trail. The issuer correction process, an amended return and an updated certificate can be different procedures. Choose the process that matches the document and the actual error.
Which records should I keep with the completed form?
Retain the source documents, applicable worksheets, submitted version and filing or furnishing confirmations. For this form, the working file should include payment-platform transaction export, refunds and chargebacks, processing fees. Keep continuing balances and prior-year support for as long as they remain relevant under the applicable recordkeeping rules.
Related forms and next steps
Use these guides when the connected issue applies to your records. Each page has its own purpose, reporting year and availability status.