Staying compliant with IRS information reporting is one of the simplest ways to protect your business from last-minute scrambles, penalty notices, and avoidable rework. If you\u2019re a payment processor, marketplace, or other payment settlement entity that issues Form 1099-K, this 2026 deadline guide tells you exactly when you must send payee copies and when you must file with the IRS\u2014so you can close out your 2025 reporting cleanly.<\/p>\n
Form 1099-K is an IRS information return that reports payments processed through payment cards and certain third-party network transactions. In plain terms: if your organization is the payment settlement entity (for example, a merchant acquirer or a third-party settlement organization), you may be responsible for preparing and filing this form so the IRS can match reported payment activity with the payee\u2019s income reporting.<\/p>\n
A quick rule to keep straight as you plan your filings:<\/p>\n
The IRS doesn\u2019t just \u201cprefer\u201d on-time filing it penalizes late or incorrect Forms 1099-K and late or incorrect payee statements. For information returns due in 2026, the late 1099-K penalty figures are $60 per return\/statement if you\u2019re up to 30 days late, $130 if you\u2019re late through August 1, $340 if you file after August 1 (or don\u2019t file at all), and $680 per return\/statement if the IRS treats it as intentional disregard (with no maximum in that case).<\/p>\n
Filing (and delivering payee copies) on time also helps you stay out of cleanup mode your payees get their tax info when they need it, and you reduce the odds of avoidable mismatch issues and notices triggered by bad or incomplete data.<\/p>\n
Here are the key Form 1099-K due dates for 2025 transactions to be filed in 2026:<\/p>\n
(If the statutory deadline falls on the weekend or on a legal holiday, the due date moves to the next business day.)<\/p>\n
| What you must do<\/th>\n | 2026 due date<\/th>\n | Who this applies to<\/th>\n | Notes to keep you compliant<\/th>\n<\/tr>\n<\/thead>\n | |||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Furnish Copy B to the payee<\/td>\n | February 2, 2026<\/td>\n | 1099-K filers (PSEs\/TPSOs, as applicable)<\/td>\n | You can furnish by mail or electronically (if you meet IRS e-delivery rules).<\/td>\n<\/tr>\n | |||||||||||||||||||||||||||
| File Copy A with the IRS (paper)<\/td>\n | March 2, 2026<\/td>\n | Filers who aren\u2019t required to e-file (generally under the 10-return aggregate rule) or who received an approved waiver<\/td>\n | Form 1096 is required as the transmittal for paper submissions.<\/td>\n<\/tr>\n | |||||||||||||||||||||||||||
| File Copy A with the IRS (electronic)<\/td>\n | March 31, 2026<\/td>\n | Filers who must e-file (generally 10+ total information returns in aggregate, including W-2s)<\/td>\n | You can e-file using IRS systems like FIRE or IRIS, or use an authorized transmitter (waiver available via Form 8508 if eligible).<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n Note:<\/b> The IRS 10-return e-file threshold is based on your combined total of information returns and certain related forms filed in a calendar year including Forms W-2. So if all your W-2s and 1099s add up to 10 or more, you generally must file them electronically (unless the IRS grants you a waiver).<\/p>\n First, a quick correction: there is no \u201c$600 single-transaction\u201d threshold for Form 1099-K. The old change tied to ARPA was about $600 in aggregate gross payments (not a single transaction) and would have applied regardless of transaction count.<\/p>\n What applies now (federal TPSO rule): Under the One, Big, Beautiful Bill (OBBB), a third-party settlement organization (TPSO) generally files Form 1099-K for a payee only if BOTH are true in the calendar year:<\/p>\n
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