Will I get a 1099-K from PayPal or Venmo for selling things in 2025?

The 1099-K reporting rules went through several changes and the One Big Beautiful Bill Act (OBBBA) reversed the $600 threshold back to the original rule for 2025: you will only receive a Form 1099-K if you had more than $20,000 in payments AND more than 200 transactions for goods and services through a single platform.

Quick summary for 2025:

• PayPal, Venmo, Cash App, Etsy, eBay, Poshmark, and similar platforms will issue a 1099-K only if both thresholds are met: more than $20,000 AND more than 200 transactions.
• Personal payments (splitting dinner, paying rent to a roommate, sending a gift) are NOT reportable and should not generate a 1099-K. Always mark personal transfers as "Friends & Family" to avoid misclassification.
• Starting 2026 and beyond, the threshold is scheduled to drop to $600 with no transaction minimum, but that future rule has not yet taken effect.

You still owe tax even without a 1099-K. The IRS requires you to report all income from selling goods or services, regardless of whether you receive a form. If you made a profit selling items on eBay or completed freelance work via Venmo, that income belongs on your return.

When did you sell at a loss? If you sold personal items (like old furniture or clothes) for less than you originally paid, that is not taxable income, even if the platform sends you a 1099-K. You can report the offset on Form 8949 to show the transaction resulted in no gain.

Cryptocurrency on payment apps follows different rules, specifically the new Form 1099-DA reporting requirements starting in 2025.