Answered step by step
Verified Expert Solution
Question
1 Approved Answer
How should a tax preparer handle Form 1099-K if a taxpayer received it for transactions that were 100% personal? Leave it off the return so
How should a tax preparer handle Form 1099-K if a taxpayer received it for transactions that were 100% personal? Leave it off the return so as not to confuse the IRS. Send a notice to the IRS explaining the circumstances. Fill out Schedule C but include a negative amount to zero out the income. Include Schedule 1 with the return, using line 24z to deduct the personal amounts
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started