Wellevate migration: Wellevate support: Stripe-issued 1099-Ks
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Fullscript is getting a facelift.
We’re slowly rolling out an updated platform to make ordering your favourite products easier. Click the image below if your prescriptions appear like this:
Learn more
Wellevate support
Practitioners
In this article:
Will I receive a 1099-K from Wellevate?
What is the dollar amount displayed on Form 1099-K?
How do I get my 1099-K?
When will I get my 1099-K?
What if I didn’t get a 1099-K?
I didn’t earn this much money; am I going to be taxed on the total gross volume amount?
Will I receive a 1099-K from Wellevate?
Stripe (not Wellevate) will prepare a 1099-K for you if you transacted a minimum of $600 USD in 2023 through your Stripe account. If you meet this requirement, your 1099-K (for Wellevate transactions) will be available to download through your Stripe account. For a physical copy of your 1099-K, please contact Stripe (info@stripe.com) and request one prior to January 19th.
Any questions/discrepancies on 1099-K forms issued by Stripe are handled by Stripe. Wellevate does not have any control or ability to modify the amount or payor detail.
Note: This applies to order activity transacted through your Wellevate account only; Fullscript transactions are separate and may result in you receiving a separate 1099-K.
Why did Stripe issue me a 1099-K for sales through my Wellevate store?
Stripe handles the collection of funds (product, discount, shipping, sales tax) from the patient. Those funds are then distributed by Stripe to the practitioner first and, from there, to Wellevate. Wellevate was the host an online site that allowed practitioners to invite and sell to their patients/customers.
Product sold to patients on Wellevate’s online platform were sales between the Practitioner and the customer, not Wellevate. Wellevate handled the shipments of the product and sales tax remittance as a Marketplace Facilitator. Whether the practitioner decided to make any profit or not, these sales were between the Practitioner and the Patient. There is no commission earned/paid by Wellevate to Practitioners.
Practitioners fully controlled their own store on Wellevate and made their own determination as to how much profit they wished to earn per patient. They could also select to earn no profit if preferred. There is no commission earned/paid by Wellevate to Practitioners.
Wellevate received tax collected, reimbursement for the wholesale value of the products, any shipping expenses, and a platform service fee. The practitioner maintained the net funds between what was charged to the patient (less payments to Wellevate outlined above).
Stripe issues a 1099-K to Practitioners based on the total funds collected from patients. Wellevate provides practitioners with Profit & Loss Statements, on their online store, for use in filing their business taxes.
Our Wellevate Customer Support team can provide Profit & Loss Statements for Practitioners upon request should their accounts be locked. Please allow up to 5 business days for these reports to be provided.
What is the dollar amount displayed on Form 1099-K?
According to the IRS, the amount on Form 1099-K is "the gross amount of the total reportable payment card/third party network transactions for the calendar year. Gross amount means the total dollar amount of total reportable payment transactions for each participating payee without regard to any adjustments for credits, cash equivalents, discount amounts, fees, refunded amounts, or any other amounts."
How do I get my 1099-K?
Once issued by Stripe, log into your Stripe account and click Business Settings on the dashboard. From there, click the Documents tab. Here you will see the option to download your 1099-K if issued by Stripe. If you would like a physical copy of your 1099-K mailed to you, please contact Stripe (info@stripe.com) with your request prior to January 19th.
When will I get my 1099-K?
1099-Ks will be available prior to January 31st.
What if I didn’t get a 1099-K?
You will only receive Form 1099-K (in 2023) if you satisfy the eligibility threshold of $600 USD in sales (i.e., gross payments) during the calendar year. Please contact Stripe (info@stripe.com) directly with any questions pertaining to your 1099-K.
I didn’t earn this much money; am I going to be taxed on the total gross volume amount?
Please speak to a tax advisor for help understanding your tax obligations.