Let me ease your confusion, @NFESH_Tom.
Allow me to fill you in on everything about how 1099-K reported for contractors paid electronically.
Payments made for the contractors using Bill Pay Online isn't subject to reporting on Form 1099-NEC. That said, the payment companies, like Bill.com, will handle any required reporting for your contractor. Those electronic payment providers are required to send out a different version of 1099, called the 1099-K.
In addition, one of the possible reasons why your contractors don't receive the 1099-K form from Bill.com is that if you haven't processed at least 200 card transactions and $20,000 in gross sales during the previous calendar year. For more details, feel free to read these articles:
Please let me know if you need further clarification about this, or if there's anything else I can do for you. I'll be standing by for your response. Have a great day.
