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1099-K forms and other tax-related questions
1099-K forms and other tax-related questions
Alyssa avatar
Written by Alyssa
Updated over a week ago

The IRS planned on lowering the 1099-K threshold for 2023, but on 11/21/23 announced that it would be unchanged for this tax year. More information

1099-K form guidelines 🏦

Givebutter issues 1099-K forms in accordance with applicable laws and regulations. If you are subject to receiving a 1099-K, you will receive it in February following the close of the previous fiscal tax year.

In a given fiscal year, anyone who receives at least 200 transactions through Givebutter AND their total amount was $20,000 or greater will receive a 1099-K from Stripe, our payout partner.

Some states may have a lower reporting threshold. Please consult with your CPA or accountant regarding your specific situation.

As a rule of thumb, donations are tax-deductible if the campaign's beneficiary has registered nonprofit (tax-exempt) status with the IRS. Givebutter defines the “beneficiary” as the final recipient of any funds raised. Tips to Givebutter are not tax-deductible.

You can read more about 1099-K forms on the IRS website. We're unable to give specific tax advice and always recommend consulting a tax professional regarding current tax regulations.

Incorrect 1099-K entity designations 🔄

If your 1099-K was issued for an individual, but your organization is a business or nonprofit with an EIN, you will need to request an account type change from Stripe. Once that is completed, you can request an updated 1099-K from Givebutter.

To change your account type with Stripe, you will need your Stripe account ID, which can be found in your Stripe Express dashboard. Then you can reach out to Stripe Support to ask that your Stripe entity type be changed from Individual to Nonprofit or Business, whichever applies in your situation. Please see the sample email below that you can copy, paste, and send.

Dear Stripe Support,

Our Stripe Express account, number [replace with your account number]

is incorrectly classified as an Individual entity. Please reclassify

us as a [choose one: Nonprofit/Business] entity so we can be filed accurately

for our 1099-K.

I understand I’m an Express Account holder.

Because of this, Givebutter is not able to change my account type.

Sincerely,

[Signature]

Receipts for tax purposes 🧾

If you are a donor and need a receipt or end-of-year giving statement for tax purposes, please reach out to the organization you donated to. Please note that Tips to Givebutter are not tax-deductible.

If you are an account admin, please see our resources on this topic:

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