Form 1099-K shows the value of the transactions the PSE has processed for you in the past year. Even if you are not self-employed or a small business owner, you can still get a Form 1099-K.

Lisa Greene-Lewis: Yes, so they will receive a 1099-NEC. If you're new to self-employment, you won't see a big change. But in previous years you would have received a 1099-MISC.

Reporting When you are employed by a business, your earnings are reported to you on a W-2 issued by your employer. As a freelance writer, your earnings are recorded and reported to you on a 1099 form.

You’ll receive a W-2 reporting your wages if you work for an employer. But if you do any self-employed or freelance work, you may receive 1099 forms from each of your business clients.

Lisa Greene-Lewis: So a 1099-K is a form that third-party providers issue to you if you've had 200 transactions and made $20,000 that has been processed through them.

ABC Consulting would provide you with a Form 1099-NEC by Jan. 31, since the payment exceeds the IRS threshold of $600. An example of Form 1099-NEC for a self-employed person.

As a self-employed worker, you may receive an informational tax form—such as a 1099-NEC for nonemployee compensation or a 1099-K for money earned via payment apps—and you can use those to help ...

IRS Form 1099-MISC is the tax form businesses use to report miscellaneous payments that are not subject to self-employment tax, including rent, prizes, awards, as well as medical and health care ...

New Rules for Form 1099-K For the 2023 tax year, third-party payment processors only needed to send out 1099-Ks if account holders conducted more than 200 transactions totaling at least $20,000 in ...