Races will be sent the 1099-K form by 1/31, in the prior calendar year, when the following criteria are met:
1) Gross payments that exceed $20,000
2) More than 200 transactions
As a Payment Facilitator, RunSignUp, under the IRC Section 6050W, is required to send 1099-K forms to all entities that meet the above criteria. According to the IRS, this provision is designed to improve voluntary tax compliance by business taxpayers and assist the IRS in determining the tax returns are correct and accurate.
As per the Race Contact, you will be solely responsible for and will pay any and all use, excise, sales and privilege taxes, duties, value added taxes, fees, assessments or similar liabilities however denominated and chargeable by a governmental authority as a result of any transactions, registrations or any other service or deliverable provided under this Agreement excluding taxes on RunSignup's net income.
For assistance in filing your 1099-K, please consult a Tax Advisor.
If you believe the information on your 1099-K form is incorrect, please email email@example.com for assistance.