What Is a 1099-K Form?
A 1099-K Form is an informational IRS document that reports the gross dollar amount of payment card transactions (credit/debit cards) processed through a merchant account during a calendar year for any US based accounts.
8am™ LawPay Pro as the credit card processor is required to send this information to the IRS. It is a document we are required to produce and we send the merchant a copy as a courtesy. The IRS article on Understanding Your Form 1099-K can be referenced for additional information.
Key Things the 1099-K Shows (and Does NOT Show)
The 1099-K includes:
The gross dollar amount processed via card transactions.
The 1099-K does NOT include:
Refunds
Chargebacks
Returned eChecks
Pay Later payments
Cash or paper checks
Any determination of what is or isn’t your income
Timing
The form is mailed/postmarked no later than January 31st each year.
FAQs
I haven't received my 1099-K—what should I do?
Please allow up to 2 weeks after January 31st for the form to arrive via mail.
If you still have not received your form after two weeks, you may request a reprint from LawPay Pro Support.
Why does my 1099-K show Trust account volume? I didn’t earn this income.
The 1099-K does not reflect income.
It only reports transaction volume processed through your merchant account—regardless of whether the funds were:
Earned income
Unearned income
Trust/IOLTA funds
The IRS requires processors to report this volume even though it is not taxable income.
Shouldn’t my State Bar’s Tax ID appear instead of mine?
No.
Credit card processing is conducted under your merchant services account—not the State Bar’s. Therefore:
The IRS requires the form to show your business’s EIN/Tax ID
The form still does not classify the amounts as income
The number on my 1099-K doesn’t match my Transaction or Deposit Reports. Why?
The 1099-K reports gross processed volume, which:
Includes all processed charges
Excludes refunds, chargebacks, and returned eChecks
Your income reports (Deposits, Transactions, etc.) reflect net activity—not gross card volume.
Why did I receive multiple 1099-K forms?
If you have multiple deposit accounts with Lawpay Pro, the IRS requires volume for all bank accounts reported on a 1099-K. There will also be a 1099-K created for each Tax ID.
My legal name/Tax ID is wrong on the 1099-K. What should I do?
You’ll need to contact Lawpay Pro support, so they can correct the account information and reissue the form if appropriate.
How do I report this on my taxes?
Lawpay Pro cannot provide tax advice. Please consult your tax professional for guidance on how the 1099-K relates to your tax return.