1099-K Reporting Bill Advances to House Floor on Party Lines

Democrats and Republicans clashed over a bill to raise the tax reporting threshold for e-commerce platforms during a House Ways and Means Committee markup Wednesday, with Democrats warning of wealthy tax avoidance and the GOP calling the policy too burdensome.

Democrats in 2021 had set a new requirement for the platforms to send tax reporting forms to users with more than $600 in transactions, a steep departure from the previous $20,000 requirement. The Ways and Means Committee sent legislation to the House floor in a 22-16 party-line vote that would hike the 1099-K tax reporting threshold to $20,000 and $200 ...