At a Glance
The 2026 Form 1099-K adds box 1c (Cash Tips) and box 1d (Treasury Tipped Occupation Codes) alongside the existing box 1a (gross amount) and box 1b (card not present transactions). The frozen Publication 1220 format has no official positions for them. In BoomTax’s extended 1220 layout, box 1c maps to Payment Amount 3 (positions 79–90) and box 1d occupies reserved positions 609–614 of the payee “B” record. Everything else in the record is unchanged.
This article is part of our IRS IRIS Resource Center
— your complete guide to the FIRE→IRIS migration.
Background
For the 2026 tax year the IRS is adding tip reporting to Form 1099-K: box 1c reports the total amount of cash tips included in the box 1a gross amount, and box 1d reports the payee's Treasury Tipped Occupation Code(s).
Because the IRS is no longer maintaining Publication 1220, these boxes have no official flat-file mapping. The extended layout below is how BoomTax accepts them from filers who upload 1220-format files. The 1099-K is the fullest of the extended forms — it already uses fifteen of the eighteen payment amount slots (gross amount, card-not-present, federal withholding, and twelve monthly amounts) — but Amount 3 sits unused directly after the box 1a and 1b slots, keeping the box-to-code mapping sequential.
Extended Payee “B” Record Fields (1099-K)
| Positions | Length | Field | Form Box | Format | When to Complete |
|---|---|---|---|---|---|
| 79–90 | 12 | Payment Amount 3 — Cash Tips | 1c | Numeric; right-justified, zero-filled; no decimal point (last two positions are cents) | Total amount of cash tips included in box 1a. Zero-fill when not applicable. |
| 609–614 | 6 | Treasury Tipped Occupation Code(s) | 1d | Alphanumeric; first code in 609–611, second code in 612–614; blank-fill unused positions | Up to two 3-digit TTOCs for the occupation(s) the tips were received in. Enter “000” as one code if any tips came from a nonqualifying occupation. See IRS.gov/TippedOccupations. Blank when not applicable. |
Neighboring form-specific fields are unchanged: Second TIN Notice at 544, Type of Filer Indicator at 547, Type of Payment Indicator at 548, Number of Payment Transactions at 549–561, Payment Settlement Entity's Name and Phone at 565–604, and the Merchant Category Code at 605–608. The TTOC field begins at 609, the first reserved position after the MCC. Positions 615–662 remain reserved. Boxes 1a and 1b continue to be reported as Payment Amounts 1 and 2, and the monthly amounts as Payment Amounts 5 through G, exactly as before.
Notes for Implementers
- Amount code 3 was never assigned for the 1099-K, so no standard-1220 consumer will misread it — and boxes 1a/1b/1c map to codes 1/2/3 in order.
- Consistent with the paper form, the box 1c amount is a breakout of box 1a — report it in Payment Amount 1 as part of the gross amount and in Payment Amount 3.
- No other record changes: the issuer “A” record's Amount Codes field can stay exactly as your writer produces it today — BoomTax reads the extended payment amounts by their fixed “B” record positions.
- The record remains 750 characters; no existing field moves.
- A file with these fields zero-/blank-filled is a standard 1220 file — adopt the extensions only when you have reportable tip data.
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Author
Ken Ham
Founder at BoomTax
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Passionate about making tax compliance simple so businesses can focus on what matters.
BoomTax and its affiliates do not provide tax, legal, or accounting advice. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, tax, legal, or accounting advice. You should consult your own tax, legal, and accounting advisors prior to engaging in any transaction.
