Relaxation of 1099 form requirements

[Steve Sokolowski]

We're pleased to announce that the form 1099-MISC requirements will be relaxed for 2019. It turns out that we are not required to mail these forms to businesses, and many customers have entered business addresses. Constance will be adding a checkbox to the "Settings" page tonight that will allow customers to indicate that their payouts are being issued to a business.

Accounts indicated as a business will be ignored when we process these forms. This change only affects US customers; international customers have already been exempt after they have submitted W8-BEN forms.

[jde]

This is good news. Do we need to submit documentation to show that we are using our account for business purposes? Also, are there other thresholds that would result in the issuance of different tax forms?

[Steve Sokolowski]

This is good news. Do we need to submit documentation to show that we are using our account for business purposes? Also, are there
other thresholds that would result in the issuance of different tax forms?

No, it isn't necessary to submit documentation. Since the IRS does not mandate the mailing of forms to businesses, no forms at all will be sent.