What is Form 1099-K?

Information

Form 1099-K is a tax form that is used to report transactions taking place within payment networks to improve tax compliance.

Form 1099-K is provided to the IRS (and to some states) to report certain payments that are sent or received within third-party settlement organizations. This form should be used in conjunction with other tax records (bank statements, invoices, etc.) to report taxable income, if any. Please consult your tax advisor to determine your tax reporting requirements.

Dwolla is required to issue 1099-K forms to participants in the Dwolla Network (meaning our Clients and their end users) who received payments for goods and services that exceed certain federal or state reporting thresholds. For the 2025 tax year, the federal threshold for reporting of transactions is payments exceeding $20,000 and 200 or more transactions.

For more information regarding 1099-K, please reference our 1099-K FAQ resource page, as well as this blog post.