If you’ve set up your practice to allow Stripe payments, when tax time comes you will need to check to see if you’ve received your 1099-K form. The 1099-K is required by the IRS, and is an informational form which has a summary of the sales activity of your account, which is designed to assist you in reporting your taxes. It is provided to you, as well as the IRS, and some US states.
Where do I find my 1099-K form?
In January of 2018, here is how to access your 1099-K:
What information is included?
The document includes a variety of important information about your practice and income over the tax year, including but not limited to:
- Your practice contact information
- the EIN or SSN used for your Stripe account
- the number of charges that you’ve made with Stripe in the calendar year
- any state or federal tax you’ve withheld through Stripe
Does my practice qualify for a 1099-K?
For most accounts, the 1099-K is automatically generated only if your practice ran 200 charges or $20,000 in the last calendar year, but there are possible exceptions to this rule. Stripe provides a 1099-K form for each unique tax identification number (TIN), such as a Social Security Number (SSN) or Employer Identification Number (EIN), that meets the IRS processing threshold. So, it is possible that you may have an account that does not meet the threshold, but they may provide you with the form.
Some possible scenarios are:
- You have two accounts with the same TIN; one meets the IRS threshold and one does not. Each will receive a 1099-K.
- You have two accounts with the same TIN; neither are over the IRS threshold individually but, when combined, the threshold is met. Each will receive a 1099-K.
For more information on your Stripe 1099-K, you can reference this article on Stripe's website.