Barteris the process by which businesses exchange services with each other. Although no money is exchanged, barter is still considered taxable by the IRS.
Barter income is required to be reported on Form 1099B.
The IRS does have some exemptions from the requirement that bartered transactions be reported. Reporting is not necessary for barter transactions:
- Under 100 transactions per year
- Under $1 in value
- With certain "exempt foreign persons.
