Why is the amount that Upwork deducted from my earnings for service fees included in what you reported on Form 1099-K?

The U.S. Internal Revenue Service requires Upwork to report all gross payments to freelancers on Form 1099-K. We cannot deduct the fees that you pay from what we report. For example, say your client paid you $100 for a contract and you paid 10% ($10) in fees to Upwork. The full $100 counts toward the 1099-K total, not the $90 in earnings that you could withdraw. Please consult your tax advisor about what earnings and expenses you should claim on your taxes.