New Chime Card Cash Back Offers: Panera, CVS, Wendy’s, Costco, TGI Fridays, and Others
Good morning everyone. I checked my Chime Card app this morning and noticed a bunch of new cash back offers. If you still don’t have a Chime Card, you are missing out on free cash back offers. Learn more about the Chime Card here.
Remember, these offers are first come, first serve save. With Chime Offers, both credit and debit card transactions count at these merchants, as long as you spend the minimum amount to claim the offer. I have never tried buy items online with my Chime Card, but I suppose it *might* work. If you want to be safe, I would buy items in-store, including gift cards. Panera, CVS, and Costco offers will probably go fast, so start shopping!
In other news, I was setting up my Amazon Local Register account over the weekend and this message about the IRS and 1099K tax form worries me. It seems like Amazon will report all credit card activity as income, report it to the IRS, and I will be expected to pay taxes on that. Doesn’t sound like a good deal to me. Does anyone have any more info about this?
That’s it for me, have a great day everyone!
Grant,
Regarding the report “all income” is misleading. Someone on FT also got the same message from ALR and was concerned, http://www.flyertalk.com/forum/manufactured-spending/1602547-amazons-mobile-payment-system-1-75-fee.html
The key word is 1099K. Amazon technically should not report on a 1099K until both $20,000 AND 200 transactions occur. http://www.irs.gov/pub/irs-pdf/f1099k.pdf
Also if you look up Square on this link they describe their process which is clearer
https://squareup.com/help/en-us/article/5048-square-tax-reporting-and-form-1099-k
I’m signing up for ALR as well. Decided yesterday so good timing on your blog. Obviously you and I are concerned because of the MS we plan on doing :)
I may to have to recant my previous statement. Looks like as long as it’s a “payment card” which includes gift cards, ALL income is reportable. http://www.irs.gov/pub/irs-pdf/i1099k.pdf
Also see here, page 20: http://www.irs.gov/pub/irs-pdf/i1099gi.pdf
So who really knows what Amazon will do, but there is that risk. Worse case, IRS audits, calls for tax on all the income from the swipes and then does not allow for expensing say AE GC costs because it’s not a bonafide business expense. That would be my luck + another 40% penalty for non-reporting in the first place.
Yes, everything is still unclear.
Thanks for providing the links. I will check out both links this evening. $20,000 in MS each year is not much, when you think about it, only $1,600+ per month. But I assume people will probably have multiple ALR accounts.
Well it’s $20,000 AND 200 transactions so you could do 199 transactions and $500,000 and technically Amazon would not HAVE to report it if we are leaning on the 20k AND 200 txn IRS reporting requirements. If $20,000 or 200 txns then yes, I would hit the $20k within a couple months, for you probably a day or two, LOL….but then you roll big.
If it’s all reportable, then of course that’s an issue if doing MS. For me, an opportunity I will forgo probably because of my 2 AP accounts that might be at risk + I’m also what they call a Pro Merchant seller on Amazon and don’t need that shut down.
FYI, I wrote on this FT link under “Churnchop”. See Post #200 with a response on post #204. If the responder is right, then $20,000 and 200 txns is more appropriate.