Merchant Reporting

Beginning calendar year 2011, the IRS (Section 6050W of the IRS Code) requires reporting of all payment card and third party network transactions. As your reporting entity, we will be required to file an annual information return with the IRS and provide you with a Form 1099-K, which reports monthly and annual gross credit card transaction sales.

A 1099-K form will be available by 1/31/2017. In April 2017 Pivotal Payments will file a copy of the 1099-K with the IRS. To comply with this law, it is necessary that we have your correct taxpayer ID number (TIN) and tax filing name. If we receive notice that the information on your merchant account is inaccurate, a separate notification will be sent to you so you can promptly provide the validation of your tax information.

Merchants with missing, incorrect or mismatched TINs may be subject to Federal and State (where applicable) backup withholding of settlements. For additional information please visit the IRS website at https://www.irs.gov/. It is important to note that Pivotal Payments cannot provide tax or legal advice. Please see your tax or legal advisor to determine how these tax regulations may apply to your business.

NEXT: IRS Section 6050W