WASHINGTON D.C., DC — With the new year, comes new tax requirements if you’re one of the many who have small businesses. 2022 tax laws will affect you if you accept payment for goods and services through third-party payment apps. These are apps like like Venmo, PayPal and Cash App.
These apps are now required to report transactions for goods and services that exceed $600 during a calendar year to the IRS.
Don’t panic! If you’re like some people and only use these apps for sending loved ones the gift of cash or maybe you’re paying your share of a dinner. This law does not affect these exchanges. The new law is only for people that sell their stuff or get paid for work they have done
If you’re confused, Becky at Sheldon Tax Prep will answer any questions during your scheduled appointment.