WASHINGTON (AP) — Users of Venmo, Cash App and other payment apps will get a bit of a tax reprieve this year.
The IRS announced on Tuesday that it will delay implementing its $600 tax reporting requirement that was to take effect for the 2023 tax filing season.
Instead, now payment apps and online marketplaces will send out tax forms — called 1099-K documents — to taxpayers who receive over $20,000 through apps and have over 200 transactions.
IRS officials say one reason for the delay is taxpayer confusion over what sorts of transaction are reportable.
