Why am I being asked to submit taxpayer information?
As a payment settlement entity (PSE), the IRS requires that athleteReg, a division of Outside, Inc., send out 1099-K forms to U.S. based entities reporting gross transactions processed during a calendar year. In order to do so, we collect your taxpayer information. The information we collect is found on IRS Form W-9.
What are the reporting thresholds for issuing a 1099-K?
The IRS requires athleteReg, a division of Outside, Inc., to report transactions for goods or services where the total payments received were more than $5,000 in 2024; more than $2,500 in 2025; and more than $600 in calendar year 2026 and thereafter. Previously these limits had been $20,000 and more than 200 transactions annually. The reporting threshold for third party settlement organizations, which include payment apps and online marketplaces, was changed to $600 by the American Rescue Plan Act of 2021. However the IRS is using a multi-year phasing in of the Form 1099-K reporting threshold of $600.
What is a 1099-K?
This is an informational form that summarizes the gross transactions processed during a calendar year and is designed to assist you in reporting your taxes. 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. The amount on the 1099-K may not be directly reported on your tax forms. The amounts reported are your gross transactions during a calendar year not accounting for refunds or other adjustments.
When do I need to submit taxpayer information?
You will need to complete the W-9 information before your event can accept registrations. We’re happy to get it published to our calendar and you can still access the event to edit and market, but it cannot collect funds until we have this required tax documentation. We’ll also provide notice in the event director area if this is the case.
What Information Do You Collect?
The information we collect appears on IRS Form W-9 and should be entered into the Taxpayer Information section of each of your event’s payment profiles. We ask for:
- Full Name: Your legal name (as shown on your income tax return).
- Business Name
- Address
- Federal Tax Identity Type (Individual, CCorp, SCorp, Partnership, Trust, LLC-C, LLC-S, LLC-P, Other)
- Taxpayer Identification Number (TIN): Employer Identification Number (EIN) for a business, or a Social Security Number (SSN) for individuals.
- Your electronic signature: Your full name, which will be your electronic signature.
How do I provide my taxpayer information?
To fill out your Form W-9, login to your event director account, click on the ‘Payment Profiles’ menu item from your Event Director Tasks.
Click “Edit” by the payment profile that needs tax information.
Once here, choose to supply your W9 info now:
Fill in all required fields accurately and click “Save Payment Details”:
NOTES:
- If you previously provided a valid Form W-9, we won't ask you to fill out another one. If the information has changed, you can update it by editing that payment account and tax information. You’ll need to complete the entire Form W-9 when updating.
- athleteReg and Outside, Inc. can’t provide tax advice. If you have any questions about the Form W-9, or Form 1099-K, please consult a tax advisor.
- The financial threshold includes every transaction processed in your account during a calendar year regardless of refund and payments to you.
MORE RESOURCES:
- To better understand your 1099-K, click here
- To see an example of the 1099-K, click here
For assistance in filing your 1099-K, please consult a tax advisor