Part 7/9:
The IRS acknowledges that the new regulations could lead to errors, especially if platforms cannot accurately differentiate between personal and business activity.
Users are ultimately responsible for verifying that the income reported matches their actual earnings and for correcting any discrepancies.
What Should You Do Now?
Stay informed about updates from the IRS regarding the implementation timeline.
Familiarize yourself with Form 1099-K and Form 1099-NEC, especially if you earn income through cash apps or sell goods and services online.
Keep detailed records of your transactions to avoid confusion, particularly as the new rules get rolled out.