WASHINGTON, D.C. (Dec. 2, 2024) – The National Federation of Independent Business (NFIB), the nation’s leading small business advocacy organization, released the following statement regarding the recent IRS announcement that they will set the threshold for Form 1099-K reporting requirements for annual transactions in 2024 at $5,000, but still plan to mandate the $2,500 threshold in 2025 and the burdensome $600 threshold in 2026 for online platforms like eBay, PayPal, Etsy, Venmo, and CashApp.

“While this IRS announcement sets the threshold for 2024 and prevents many Americans and small businesses from being inundated with new Form 1099-K reporting requirements, it doesn’t stop the main problem of the upcoming onerous $600 requirement,” said Vice President of Federal Government Relations Jeff Brabant. “This requirement would make anyone who uses an online platform to send more than $600 to another person, even for rent, groceries, or concert tickets, to register the transactions immediately with the IRS. NFIB urges Congress to provide relief for Main Street by immediately repealing this burdensome requirement.”