Tax ID Required for US sellers as of 2022

[Carolyn J. Bickford]

With the 2022 tax year, Atomic Avenue is required to file a 1099 form with the amount of disbursements to each US seller with sales over $600 during the year. This is typically redundant with amount reported by Paypal in their 1099-K form, as sellers receive their disbursements via Paypal. For this reporting requirement, all US sellers will be required to provide their US tax ID, i.e. social security number or EIN, in order to sell on Atomic Avenue and receive disbursements.

Sellers who meet the reporting threshold (currently $600 or more in annual disbursements) will see a window requesting tax ID when they log in. Your information is SSL secured when you enter it and is stored with double encryption. We will only access this information when we file the reports with the IRS. As required, all sellers will receive a copy of this form.

[Carolyn J. Bickford]

On December 23, 2022, the IRS reviewed its guidelines regarding 1099-K reporting requirements. For 2022, we are only required to file 1099-K forms for sellers who have received more than $20,000 in disbursements that year. We have done so.

All sellers who meet the 1099-K reporting requirements for 2023 will receive a 1099-K form from us in 2024. Any tax ID information we have received remains secured and encrypted and will only be accessed when needed.