The One Big Beautiful Bill Act changed reporting thresholds for 1099 reporting as follows:
1099-NEC & 1099-MISC
The threshold changed from $600 to $2,000 for payments made after December 31, 2025. This amount will be indexed for inflation thereafter.
1099-K
The 1099-K reporting threshold has been increased from $600 to $20,000 and more than 200 transactions, which was the previous threshold before the American Rescue Plan Act of 2021. This is effective for tax year 2025.
Although the thresholds have changed, state reporting requirements may differ. For example, NJ’s threshold for 1099-K reporting is currently $1,000.
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