Amazon.com is now offering a credit card swipe reader with their new service called Amazon Local Register. Until 2016, Amazon is offering a promotional fee of just 1.75% per swipe. This is a full 1% cheaper than Square and .95% cheaper than PayPal Here. In 2016, the Amazon Local Register rate will increase to 2.5%.
Caution. For those thinking of using this to liquidate gift cards, consider:
1. They will most likely shut down accounts that use the service “not as intended” (this happens frequently with Square, for example).
2. You will receive a 1099-K if you have more than 200 transactions AND $20,000 in gross payments processed through your Amazon Payments account in a calendar year. You can read their tax information here.
Hat Tip: Josh
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Does this rule apply for payments thru Google Wallet also? –
You will receive a 1099-K if you have more than 200 transactions AND $20,000 in gross payments processed through your Amazon Payments account in a calendar year.
Good question. I would expect so if you’re using Google Wallet to accept payments.