What is the process for receiving a 1099-K form?

The 1099-K form is crucial for tax reporting, as it outlines the total gross payment transactions processed throughout the calendar year. It helps ensure compliance with IRS requirements and provides you with the necessary information to accurately report your earnings.

As your payment processor, it is our responsibility to mail you a complete 1099-K form for the previous calendar year by January 31st of the following year. You will receive the document at your registered corporate mailing address. If you don’t receive the copy, use your merchant portal or contact Merchant Support to request a new one to be mailed or sent to you via email.

Once you get your 1099-K form, carefully review all data to confirm it accurately reflects your business transactions, especially the following:

• Taxpayer Identification Number (TIN): the last 4 digits of your Social Security number, individual taxpayer identification number (ITIN), adoption taxpayer identification number (ATIN) or employer identification number (EIN).
• Gross payment amount (Box 1a): shows the total value of payments you received through payment card and third-party network transactions.

The gross payment amount isn't adjusted for any fees, credits, refunds, shipping costs, cash equivalents, or discounts. These items are not taxable income, so you can deduct them from the gross amount.

What if my 1099-K form has incorrect information?

If you notice discrepancies between the form and your actual business details, check the information you have registered in your Paysafe Business Experience portal:

• if all data is correct, contact us to request a 1099-K correction
• if your Doing Business As (DBA) name or TIN is incorrect, submit a request to update the respective details
• if you have changed your legal business name or structure, contact us to request a name change form
• if the merchant account was opened fraudulently, submit a full police report
• if the data related to your sales amounts is incorrect, contact us with proof of the correct data, and we will investigate further

Make sure to submit the respective request as soon as possible so you can meet the IRS deadlines. Once the issue is fixed, we will submit an updated copy to both to you and the IRS.

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