I only had one technically taxable payment I received because it went over the $600 limit for my state. Is there a way to get a corrected 1099K?
This is my personal paypal account and not a business or PSE or third party network as checked off on the 1099K
This is a direct response below from the IRS regarding the regulations for cash back offers from Credit cards etc. So why is Paypal reporting to the IRS?
Any explanation would be appreciated.
"Hello, I'm Scott from TurboTax with some information about how you should treat your cash back rewards for tax purposes.
You're probably familiar with all the different credit card companies offering cash back rewards or even those mail-in rebate offers you receive on certain goods. But if you think you need to report these rewards on your tax return, you’ll be happy to know that it isn't necessary in most cases.
For most of these rewards that are given to consumers, the IRS treats them as discounts rather than income. If you think about it, it's not as if any of these companies are offering you cash for nothing; more often than not it's used as incentive for you to purchase something.
And since a discount isn't taxable, there's no need to keep track of all your cash back rewards to prepare your tax return."
