Question

Tax Implications for Zelle payments

Forum|Forum|3 years ago
August 31, 2022
1 reply
0 views

I see every other payment app being listed beside zelle regarding $600 income taxes

1. is Zelle a wire transfer?

2. Do you pay taxes when receiving “tips/ splitting the bill” when $600 has been reached on Zelle

3. Will Zelle send a 1099 Form?

Laura_CPA

Hi toastpost89,

Great question! Zelle works a bit different from the other apps mainly because it is a payment platform. They do not issue a 1099-K Form instead if payments you receive on Zelle are taxable it is your responsibility to report them to the IRS. The law about the $600 does not apply to Zelle.

Hope this answers your questions, have a good day!

**Say "Thanks" by clicking the thumb icon in a post**Mark the post that answers your question by clicking on "Mark as Best Answer"