1099k doesn’t include PayPal transactions

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Tourist
3 0 2
Hi there ,I have got my 1099k , I’ve noticed that it only shows my gross sale total that were processed via Shopify payments. and actually my most transactions were made via PayPal (but i didn't receive 1099k from my paypal since those two conditions weren't met there ) .
My questions are , when I go do my tax return can I just print out my shopify yearly sales financial summary to report my income ? cos if I just bring in this 1099k ,it doesn't have my actual gross sale amount .
Anyone has similar experiences plz feel free to share and help .

Thanks
Nikki
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New Member
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I had the exact same question. 

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Shopify Staff
Shopify Staff
291 29 68

Hi, @nyz and @CurlyChicCrafts!

 

Julie here from Shopify Support.

 

This is a great question, and especially relevant given the fact that we're heading into tax time. 

 

In the United States, if you process more than $20,000 and have more than 200 transactions, then you are required to submit a 1099-K form to the IRS. If you meet these requirements, then Shopify will automatically generate the 1099-K form and submit it to both you and the IRS. This can be found in Settings > Payment providers > Shopify Payments > View payouts > Documents. We also have a help doc on how you can access this report here

 

Keep in mind that this only applies to gross sales generated through Shopify Payments; if you meet these requirements for orders processed via another payment gateway, then you'll just need to check in with your other payment providers to find out how you can obtain that form. I did, however, manage to find some information from PayPal regarding 1099-K forms and how they can be obtained. You can check that out here

 

Aside from the 1099-K form, Shopify also gives you access to tax reportsThe Sales finance report, for example, can help with your sales tax reporting and includes the values that you'll most likely need while filing your taxes, like gross and net sales generated during a specific timeframe. This report can be exported as a CSV file; if you're working with an accountant, it's a great idea to provide them with a copy of this report. 

 

Ultimately, I recommend reaching out to PayPal directly if you are needing a 1099-K from them and they should be able to point you in the right direction. If you have any other specific questions on tax reporting, then my advice would be to reach out to a tax expert who is qualified to provide you with guidance on how to best proceed. 

 

I hope this helps! 

Julie | Social Care @ Shopify
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Tourist
3 0 2
Hi Julie , thank you for your reply :)
I went to do my tax return today , I provided my shopify finances summary for 2019 which shows payments total processed via both shopify and paypal , it was taken, so yay !

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Tourist
3 0 2
Hi , I just did my tax return today .I printed out my shopify finances summary which has both shopify payments and paypal payments total amount ,and it was taken,Hope this helps .
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