Yes, Venmo, Cash App, and other third-party payment networks report business payments to both the recipient and the IRS, but only if a user exceeds the annual threshold, which is $20,000 or 200 transactions. This threshold was set to decrease in 2025 but instead has increased. Zelle works differently by facilitating transfers directly between banks and does not report payments to the IRS.

Take note that even though Zelle does not report to the IRS, nor does Venmo and Cash App report payments below the threshold, you are still responsible for reporting all business income to the IRS.

Did you receive Form 1099-K from transactions on Cash App, Venmo, or another third-party payment service? You not only have income but may have expense deductions to offset income. Work with a Tax Pro to make sure you get every dollar you deserve when you file. Book your appointment today.

Sharon Brucker, CPA Senior Tax Research Analyst Published on: August 08, 2025
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*This content is for general informational purposes only. It is not intended to be comprehensive and should not be construed as professional tax or financial advice for any specific individual tax situation. Taxpayers should always consult a qualified professional for individual guidance. This information constitutes a solicitation under the Treasury Department's Circular 230. Most offices are independently owned and operated.