I’m a practitioner. Why is my 1099-K reporting a number higher than what I actually earned?

You may notice that the amount reported on your 1099-K is higher than your net income. This is normal and follows IRS 1099-K instructions. The IRS requires Fullscript to report the gross amount transacted for payments facilitated on your account, not your actual earnings.

The gross amount transacted includes:

• Fullscript processing fees
• Cost of goods
• Shipping charges
• Sales taxes
• Refunded charges
• Adjustments (if applicable)

It’s important to note that this amount doesn’t represent your net income. For an accurate understanding of your earnings, you may need to review your account’s financial details and subtract the costs outlined above.

If you have questions about your 1099-K or need support interpreting your earnings, feel free to reach out to our support team or consult with a tax professional.