My store made less than $20k in 2019, will I get a 1099 for tax filing? If so, when?
If not, how exactly should I go about reporting my shopify income for tax filing purposes?
Lulu here from the Shopify Support team. Thanks for reaching out here, and I'll be more than happy to help you out.
The 2019 1099-K documents will be uploaded to all qualifying merchant admins by the end of January 2020. In the US, Shopify is required to submit a 1099-K form to the IRS for each merchant who processes more than $20,000 and has more than 200 transactions in a calendar year (or less if they're in MA or VT states). If you qualify for a form, you will see this by clicking the documents link at the top left of your Shopify Payments payout page (admin > payments). You can see a screenshot of how this looks here.
This can only be accessed by the account owner login since it contains sensitive information. If you can't find it there, it is likely you don't qualify for a 1099-K.
You would have also received the link to your form via email to the account owner email address when we uploaded the form to your shop. *Please note: You need a separate form for each qualifying store.
You can easily access your processing report by logging into your admin as the account owner and using the following URL after the "admin" part:
Also, your 1099-K form is for your gross sales processed through Shopify Payments. It does not (and should not) factor in fees, refunds and adjustments. It's also important to note that there will sometimes be some small discrepancies based on these reports showing orders in the shop's native time zone while the official 1099-K form will always be based on UTC time. This means orders processed late in the evening on Dec 31st of the previous year might be included in the following year's 1099-K form but not your admin report. This can affect orders at the beginning and the end of any given year.
If you don't qualify for a form, you will need to remit your taxes to your local tax authority or a tax accountant. We have a guide on taxes here that has some more information. I hope this helps but let me know if you need anything else at all.
Lulu | Social Care @ Shopify
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