In November 2021, PayPal announced that changes in to the upcoming U.S. tax reporting requirements, "could impact the information PayPal shares with the Internal Revenue Service (IRS) about transactions made using PayPal and Venmo for the sale of goods and services."

As open marketplaces like Facebook rely on PayPal as a "backbone" for payments, this has immediate impact for vendors of all sizes and thus means that there is an additional layer of diligence that now needs to be taken by those looking to sell directly to players and collectors.

We discuss this impact, what a 1099 form means, how to handle the upcoming changes, and what steps you can take to mitigate your 1099 taxation.

https://newsroom.paypal-corp.com/2021-11-04-New-US-Tax-Reporting-Requirements-Your-Questions-Answered