Form 1099-K is a tax form sent to users that may include both taxable and nontaxable income sources. A taxable source of income is included in your income, such as wages, rents, tips, and retirement income. Whereas a nontaxable source is excluded from your income and you will not need to report on your tax return.
Some examples of nontaxable income are:
- Money received from a friend as a reimbursement
- Money received from a roommate to pay their share of the rent
- Money received from a loved one as a gift
Also, if you receive money from selling a personal item at a loss, you are not
