Yes, you may receive a Form 1099-K if you have a holiday craft business, depending on the type of transactions you engage in. If you accept payment cards (such as credit cards or debit cards) as a form of payment for goods you sell or services you provide, you will receive a Form 1099-K for the gross amount of the payments made to you through the use of a payment card during the calendar year. This reporting requirement has not changed, and there is no minimum reporting threshold for these payments to trigger a reporting requirement.
Additionally, if you accept payments from a third-party settlement organization (such as an internet sales site or payment app), you may receive a Form 1099-K from that organization. For calendar years after 2021, you will receive a Form 1099-K if the total number of your transactions exceeded 200, and the aggregate amount of payments you received exceeded $20,000 in the calendar year. However, the American Rescue Plan Act lowered the threshold to trigger a reporting requirement on a Form 1099-K to more than $600 (regardless of the number of transactions). The IRS issued Notice 2023-10, which temporarily delays the enforcement of the lowered reporting requirement, but you may still receive a Form 1099-K in error at the lower threshold despite this notice.
Sources:
Publication 583 (1/2021)
Publication 334 (2023)
FS-2023-6
FS-2024-3