The third party settlement organization or its electronic payment facilitator is responsible for reporting the gross amounts of reportable transactions paid to participating payees in their network. This responsibility includes ensuring that the gross amount of reportable payment transactions is reported without adjustments for credits, cash equivalents, discount amounts, fees, refunded amounts, or any other amounts.
Sources:
Publication 1220 (9/2023)
§ 6050W. Returns relating to payments made in settlement of payment card and third party network transactions
Rev. Proc. 2020-44
FS-2023-6
PLR 201836008
PLR 201907006