The information in this article is relevant to Phorest customers in the US who are processing payments using PhorestPay through Stripe.
PhorestPay and 1099-K forms
In the US, the IRS Form 1099-K is used for annual tax filings with the Internal Revenue Service (IRS) and local tax authorities.
The 1099-K form does not apply to Phorest customers located outside the US.
If you process payments through a PhorestPay account, and you exceed the filing thresholds listed below, you will receive your 1099-K form in January from Stripe, Phorest’s payments partner. This includes business accounts, self-employed/booth renter accounts and PhorestTips accounts. For self-employed/booth renter accounts and PhorestTips accounts, the threshold is based on your individual account rather than the overall business account.
If you processed some or all of your 2025 payments through another payment provider, you should also receive a 1099-K from them. You may need to contact the provider directly to ensure you receive your 1099-K for these transactions.
What is a 1099-K form?
A 1099-K form is an information document detailing the gross value of payments processed for you by Stripe between January 1st and December 31st of each year. You can then use this information as part of your annual tax filing with the Internal Revenue Service and local tax authorities.
The gross value of payments includes:
- Payments for all services/treatments
- Recurring membership payments within Phorest
- Online booking deposits
- Sales of products/services through online channels
- Sales of products/services in person
- Refunds
- Payment processing fees
- Sales of gift cards
What are the filing thresholds for 2025?
The IRS announced earlier this year that the federal threshold for receipt of 1099-K has been reset to previous levels. This means that any PhorestPay account which processed both in excess of $20,000 in payments AND had greater than 200 transactions will receive a 1099-K.
State filing thresholds may differ from the federal ones; you can find details of the state threshold in this help article from Stripe.
What do I need to do?
To ensure your 1099-K is accurate, please log into your Stripe account to check that your full taxpayer name, address and Taxpayer Identification Number (TIN) are correct in your Stripe account.
Watch the video below to see how you can confirm this information in your Stripe account.
You can choose to receive your 1099-K electronically in your Stripe account or on paper by mail. You should receive an email from Stripe requesting that you confirm your preference to receive your 1099-K form electronically. If you cannot find this email, please search for an email titled “Verify your tax information.”
I am a business owner, with multiple branches of my salon/clinic, what should I expect?
You may receive a 1099-K for each Stripe account. Generally, each salon/clinic has its own Stripe account. If your branches have the same TIN, you will receive a 1099-K for each branch if the aggregate value and number of payments exceeds the thresholds.
I'm a Self-Employed Staff Member/Booth Renter - Do I Receive a 1099-K?
If you are self-employed, you may also be eligible to receive a 1099-K for 2025. Please ensure your full taxpayer name, address, and TIN are correct on your Stripe account.
To access your Stripe account, log in to your Phorest Go mobile app, then go to PhorestPay > Account Settings (which takes you to an external Stripe webpage) > Settings.
PhorestTips
PhorestTips was launched in the US in 2025, and some staff members may receive a 1099-K from Stripe for 2025.
I started to receive payments through PhorestTips this year - should I receive a 1099-K?
You may be eligible to receive a 1099-K for tips processed through PhorestTips if your payments through PhorestTips exceed the federal and/or local thresholds. Please ensure your full taxpayer name, address, and TIN are correct on your Stripe account.
To access your Stripe account, log in to your Phorest Go mobile app, then go to PhorestTips > Account Settings (which takes you to an external Stripe webpage) > Settings.
We recommend checking with your employer to understand how they processed payroll to see if any taxes might be applicable. Please also be aware of the latest tax legislation passed into law on July 4th, which entitles the employer and individual to federal tax credits.
PhorestTips: US Tax Guide for Business Owners and Staff
Before I started using PhorestTips, I received tips (e.g cash, or through payroll) for part of the year. Are these included in the 1099-K from Stripe?
The 1099-K sent by Stripe only includes tips payments processed through PhorestTips. Any cash or non-cash tips you received outside of PhorestTips should be reported to your employer, so that they can be included in your W-2 (Wage and Tax Statement) for 2025.
Important dates for filing your 2025 tax return
January 2026: You will receive your 1099-K from Stripe by the end of this month
Wednesday, April 15th, 2026: This is the deadline for filing your 2025 tax return. You may also have additional time to file if you are in a federally declared disaster zone; more information is available from the IRS at https://www.irs.gov/newsroom/tax-relief-in-disaster-situations.
I would like help with filing my taxes
You can find more information in our tax guide for business owners and staff here.
Unfortunately, neither Phorest nor Stripe can provide specific advice on your tax filings. We recommend you contact an accountant or tax professional for more information on your state and federal tax obligations.
Additional Resources on 1099-K Forms
Please visit the links below to learn more about 1099-K forms:
https://www.irs.gov/businesses/understanding-your-form-1099-k
https://support.stripe.com/express/topics/1099-tax-forms
If you have any questions, you can contact payops@phorest.zendesk.com