How Will This Affect My Taxes?

Using WePay does not necessarily affect your taxes. WePay helps you organize your payments and under certain circumstances will issue you Form 1099-K, a requirement from the IRS.

Form 1099-K is the IRS's information return for reporting the movement of funds. It reflects the gross dollar amount that you collected in the previous calendar year. In addition, the IRS 1099-K form should reflect your legal name and Taxpayer Identification Number ( TIN). It is up to you ( and your tax professional) to determine whether these amounts represent taxable income.

If you collect at least $20,000 and have at least 200 transactions in the calendar year, WePay will send you the 1099-K form by January 31st of the following year. All payment processors are required to issue the 1099-K form by law. WePay is also required to file a corresponding tax form with the IRS, which participates in a combined filling program with many state tax agencies.

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