The IRS had planned to lower the threshold to $600 with no minimum number of transactions for the 2023 tax year. On November 21, 2023, the IRS announced that they would use the 2023 tax year as another transition year for the threshold change. For the 2023 tax year, the previous threshold applies ($20,000 in payments from over 200 transactions).
Note: For the 2024 tax year, a threshold of $5,000 with no minimum number of transactions will be in effect. This means many individuals and businesses who may casually use online payment services and have never received a Form 1099-K before could receive one for the 2024 tax year.