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1099-K: Why is the reported total gross payment amount higher than what I collected in rent?
1099-K: Why is the reported total gross payment amount higher than what I collected in rent?

total gross payment on 1099-K, 1099-K total gross payment

Crystal Abing avatar
Written by Crystal Abing
Updated over 9 months ago

Why is the reported total gross payment amount higher than what I collected in rent?

It is required by law for Propay to report the total gross amount of payments processed. Your business can deduct the full cost of merchant fees (convenience fees) on a Schedule C.

These tax deductions do not directly affect your company’s total tax bill. Instead, this tax deduction is subtracted from your gross earnings, which allows you to pay taxes on less than the gross processed amount. This is referenced in this help center article.

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