Do I need to file an 1099-Misc/1099-K for payments to literate computing?


TL;DR: I am not an accountant, but I believe that if you pay Literate Computing via PayPal or credit card (Stripe), then they will send me a 1099-K so you do not need to file one.

According to (page 3, left column, about halfway down):

Reporting under sections 6041, 6041A, and 6050W. Payments made by payment card or through a third party payment network after December 31, 2010, that otherwise would be reportable under sections 6041 (payments of $600 or more) or 6041A(a) (payments of remuneration for services and certain direct sales) and 6050W are reported under section 6050W and not section 6041 or 6041A. For purposes of determining whether payments are subject to reporting under section 6050W, rather than section 6041 or 6041A, the de minimis threshold, discussed later under Box 1a, is disregarded

Which summarizes:

In other words, if a payor uses a credit card or TPSO to transfer funds to an independent contractor for a payment typically reported on a 1099-MISC, then the payor is required to report those payments on a 1099-K. For example, if a company pays an independent contractor with a credit card for services, then, because the payor used a credit card to pay the contractor, the requirements for a 1099-K apply. And in this particular case the credit card company is required to issue the 1099-K as it falls into the definition of a MAE. But, if the payor sent a payment to an independent contractor via check, then the payment is required to be reported on a 1099-MISC.