Due to PayPal's policy change, they are no longer required to provide 1099-Ks to anyone who did not receive over $20,000 and more than 200 transactions during the 2023 calendar year. As a result, some Mavely creators will not be receiving a 1099-K from PayPal as expected.
If you earned greater than $600 from your Mavely activity during the 2023 calendar year, you should have received an email from Mavely on February 23, 2024, providing you with the total amount received by PayPal related to your Mavely activity during the 2023 calendar year. If you did not receive that email, please contact hello@joinmavely.com.
Information provided by Mavely is not intended to be and should not be construed as tax advice. For questions about your specific tax situation, please consult a tax professional.
Frequently Asked Questions (FAQs)
What if I received more than $20,000 and more than 200 transactions from PayPal in 2023?
If you meet these thresholds, you may receive a 1099-K from PayPal. You can view more information regarding 1099s from PayPal here.
How come the dollar amount sent to me via email doesn’t match the amount listed in my Mavely Analytics?
The amount provided is for funds received by PayPal related to your Mavely activityduring the 2023 calendar year. It does not include money earned in 2023 and paid out in 2024, nor does it include money paid out in 2022.
As an example, the final payout related to your Mavely activity during the 2022 calendar year was received by PayPal on December 29, 2022 rather than January 1, 2023. Because of this, it does not appear as part of your PayPal payouts for the 2023 calendar year.
What if I had multiple creators working for me in 2023?
The amount emailed to you is inclusive of all money sent to your PayPal in 2023 related to your Mavely activity. If other creators used this same PayPal account for Mavely, it includes those earnings as well. Only the PayPal email addresses have been notified of the total dollar amount earned.
What do I do with the information provided in this email?
You should provide the amount displayed in the email (the amount you received from PayPal related to your Mavely activity during the 2023 calendar year) to your tax preparer along with PayPal’s details, including Name and I.R.S. Employer Identification Number.
Am I a W2 employee of Mavely?
No, creators who use the Mavely platform are not W2 employees and will not receive a W2 from Mavely.
Do we expect the same thing to occur for 2024 calendar year?
No, PayPal will be required to comply with the IRS to provide 1099 details to anyone that receives more than $600 within the calendar year. Furthermore, Mavely is expecting to support additional payment options by Q2 2024.
https://www.paypal.com/us/cshelp/article/will-paypal-report-my-sales-to-the-irs-help543