Originally Posted by
MileageUpdate
Anyone using a swiper will also get a 1099-K form even for $1. It falls under the "accept CC for a service" tag. So there will be that to deal with come tax time.
Not exactly. The Square Seller Agreement states:
If in a given calendar year you receive (i) more than $20,000 in gross amount of payments and (ii) more than 200 payments, Square will report annually to the Internal Revenue Service (“IRS”), as required by law, your name, address, Tax Identification Number (such as a Social Security Number (SSN), or Employer Identification Number (EIN)), the total dollar amount of the payments you receive in a calendar year, and the total dollar amount of the payments you receive for each month in a calendar year. Whether you reach $20,000 in payments or more than 200 payments will be determined by looking at the SSN associated with your Square Account.
However, you cannot pay yourself using Square. It is to be used strictly for business transactions. If you violate that part of the Seller Agreement, you're committing fraud.