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Can I create a 1099K from with a taxpayer identification number?
I yet have not registered for one, I am creating the 1099K because I payed a family member over 20K in expenses.
Thanks.
I meant to say *without not with.
Thanks!
7 Answers
- Bostonian In MOLv 75 years ago
You are not a payment processor like PayPal or GoFundMe. Therefore you never issue a Form 1099-K.
If you paid someone more than $600 for services rendered in the course of your business, you would issue them a Form 1099-MISC. You should use EIN for your business to issue that form. You can issue it using your SSN but I would never recommend that.
If this money was not paid in the course of your business you do not issue any tax form for it. If this was a gift to a family member, you must file a Gift Tax return as it was more than the $14k annual exclusion amount. You won't owe any Gift Tax until you have given more than your lifetime exclusion amount, currently $5,430,000. Copies of Gift Tax returns must be retained forever as the executor of your estate will need them when you pass.
- troLv 75 years ago
no you cannot create a 1099 K, you are not the entity that is required to do so
if you paid someone $600 or more for services performed for your business, you can issue them a 1099 M which you can order at 1 800 829 3676 or buy them at the office supply store
if as an individual \who paid family members for services they performed for you personally you are not required to issue a 1099 M
- Anonymous5 years ago
This is not what a 1099-K is used for. You are not a credit card processor.
Paying a family member $20K of what exactly? Rent? For what business purpose?
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- JudyLv 75 years ago
What kind of expenses? work they did for you? You may need to give them a 1099, but not a 1099K - 1099-misc maybe.
- Anonymous5 years ago
nope when you start a business you should have talk to a cpa