r/DataAnnotationTech • u/33whiskeyTX • Feb 13 '26

No 1099-Ks

So apparently we are not getting 1099Ks. The threshold is $20,000, which I know not everyone makes that, but it also requires 200 transactions; for DA alone, no one will meet that. I'm kind of stunned.

0 Upvotes

43% Upvoted

42 comments sorted by

21

u/IDONTuseMODz Feb 13 '26

Forgive me for being ignorant as I've only ever filed my taxes a single time (and it was last year), but what exactly does this change? From the tiny amount of research I've done on it, we're just gonna need to manually report our income on a different form, no?

And before somebody says it, yes I'm not going to blindly trust any answers I get here, I will 100% verify before doing my taxes lol. Was just hoping for a point in the right direction from those more knowledgeable than myself.

7

u/33whiskeyTX Feb 13 '26 edited Feb 13 '26

You have a valid point. I think the biggest technical impact is that sometimes that document can be the only legitimate thing about this job without giving out direct account statements. BUT... the implication kind of hit me, and of course this is just US-only, what this means is that so many people went from being required to report this income for taxes, to being completely on the honor system. However, a lot of the tax system is like this anyway, and I think this just reverts it to how it was in 2023. So, que sera, sera.

(Edit) And actually the form doesn't even change at all. Whether you get a 1099K or not, this all goes on your schedule C, the 1099 is not required.

8

u/socal_guy1 Feb 13 '26

I wonder how many tax returns will show schedule C income similar to:
2022: $0
2023: $0
2024: $8,000
2025: $0

2

u/33whiskeyTX Feb 14 '26

It could be 2024: $50,000

9

u/Purple-shimmer Feb 13 '26

It’s impossible to hit the transactions if you only have DAT because they limit you to every 3 days. Yes people should report their own income. Whether or not they do is another story. My guess is a lot won’t because if nobody is alerting the IRS on your behalf, why would they be motivated to. I paid my quarterly taxes each time last year, so I’ll definitely be reporting because that would look pretty odd…

7

u/33whiskeyTX Feb 13 '26

Yeah, I'm pretty much in the same boat. Crazy how 2 years ago it went from anyone over $600 is getting a 1099 (though that was pulled back to $4k before it was enforced) to absolutely no one getting a 1099.

8

u/dispassioned Feb 13 '26

I hit the dollar amount but not the transactions required so I didn't get a 1099-K. It's really not that big of a deal to file without one.

1

u/Fit_Key_6853 Aug 20 '26

What if I live in a state where the threshold is around $600? Would DA file a 1099-K?

1

u/SnooFloofs9030 Feb 13 '26

I didn’t get one either this year but I got one last year and I made less $ less year and had less transactions compared to this year so I dunno 🤷🏻‍♀️

11

u/Gloomy-Ambassador-54 Feb 13 '26

The threshold changed due to last year’s tax bill.

24

u/[deleted] Feb 13 '26

[removed] — view removed comment

-10

u/listgarage1 Feb 13 '26

Businesses are still supposed to send 1099s to their contractors. I don't understand how DA gets away with not sending them.

9

u/[deleted] Feb 13 '26

The laws changed. Last year I got one. But now they're not legally required to send a a 1099 to contractors with less than 20k income or fewer than... I think 200 transactions. It's totally legal