Starting in 2025, the IRS is enforcing updated reporting requirements for third-party payment platforms such as PayPal, Cash App, Venmo, and Zelle. Anyone earning income through sales, services, or online transactions may receive a 1099-K form—even if the income was for a small side hustle. This change affects a large portion of the Metro Atlanta area, especially entrepreneurs and gig workers.
Previously, 1099-Ks were issued only if you had over 200 transactions AND more than $20,000 in payments. Now, the threshold is much lower, meaning more taxpayers will be required to report this income. This includes beauty professionals, small business owners, resellers, event planners, and anyone who receives non-personal transactions through payment apps.
The key is tracking which payments are business-related versus personal. Payment apps will not sort this for you. Triple Sevyn Tax Services LLC helps taxpayers in Stone Mountain, Lithonia, and rural towns like Monroe correctly categorize income so they avoid unnecessary tax bills or IRS audits.