Creator Tax 1099 Automation Market Report 2026

The creator tax 1099 automation market size has grown rapidly in recent years. It will grow from $1.11 billion in 2025 to $1.31 billion in 2026 at a compound annual growth rate (CAGR) of 17.7%. The growth in the historic period can be attributed to increasing number of independent creators, expansion of gig economy income streams, complexity of multi-platform earnings, rising IRS reporting requirements, adoption of digital tax tools.

The creator tax 1099 automation market size is expected to see rapid growth in the next few years. It will grow to $2.49 billion in 2030 at a compound annual growth rate (CAGR) of 17.4%. The growth in the forecast period can be attributed to increasing regulatory enforcement of tax compliance, growing demand for automated tax reporting, expansion of API-driven tax integrations, rising adoption of cloud compliance platforms, increasing focus on real-time income aggregation. Major trends in the forecast period include increasing adoption of automated 1099 reporting platforms, rising integration with creator monetization systems, growing use of real-time income tracking tools, expansion of cloud-based compliance solutions, enhanced focus on error reduction and audit readiness.

The increasing adoption of digital platforms is expected to drive the growth of the creator tax 1099 automation market in the coming years. Digital platforms refer to online systems or applications that allow users to create, share, and exchange information, products, or services over the internet. Their growing adoption is driven by the demand for operational efficiency, as businesses increasingly leverage technology to streamline processes, reduce manual effort, and boost productivity. Creator tax 1099 automation enhances digital platforms by simplifying tax reporting through automated form generation, TIN validation, and e-filing, minimizing manual effort and reducing compliance errors. For instance, in August 2025, the International Trade Administration, a U.S.-based government agency, projected that the number of e-commerce users in Germany will rise from 47.68 million in 2025 to 51.77 million by 2029. Therefore, the increasing adoption of digital platforms is fueling the growth of the creator tax 1099 automation market.

Key companies in the creator tax 1099 automation market are developing advanced AI-driven solutions, such as automated workflow systems, to enhance efficiency, improve accuracy, and minimize manual compliance tasks. Automated workflow systems are software tools that execute business processes automatically, reducing manual intervention while boosting operational efficiency. For example, in September 2025, Qount, a US-based software company, launched an AI-powered 1099 workflow solution. The platform automates the entire 1099 reporting process, from data ingestion and validation to form preparation and e-filing, using AI to intelligently manage corrections and exceptions, significantly reducing the risk of errors and IRS penalties. Features such as automatic taxpayer identification number (TIN) matching and validation ensure seamless compliance and accurate reporting without extensive manual work.

In January 2024, Sovos Compliance LLC, a US-based compliance technology solutions provider, acquired Aatrix Software Inc. for an undisclosed amount. This acquisition enables Sovos to strengthen its end-to-end information return automation by integrating Aatrix’s 1099 e-filing, printing, mailing, and multi-state reporting capabilities. The integration allows faster data onboarding, fewer manual corrections, and accurate federal and state filings. Aatrix Software Inc. is a US-based company specializing in payroll tax forms and electronic filing solutions, including Form W-2, Form 1099, and health coverage reporting.

Major companies operating in the creator tax 1099 automation market are Intuit Inc., ADP Inc., Stripe Inc., Paychex Inc., Gusto Inc., Sovos Compliance LLC, Tipalti Inc., FreshBooks Cloud Accounting Inc., Payoneer Global Inc., Tax1099, Avalara, TaxBandits, Track1099, 1099Pro, 1099Online, eFile4Biz, eFileMyForms, 1099Express, FileYourTaxes.com, BoomTax, 1099FIRE, Patriot Software LLC, Keeper Tax Inc., FlyFin AI Inc., Square Inc., Gravity Software.

North America was the largest region in the creator tax 1099 automation market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the creator tax 1099 automation market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the creator tax 1099 automation market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The creator tax 1099 automation market consists of revenues earned by entities by providing services such as automated 1099 form generation, electronic filing, tax data ingestion and payout, tax data reconciliation, compliance monitoring, deadline management, audit trails, and artificial intelligence (AI)-driven compliance management solutions. The market value includes the value of related goods sold by the service provider or included within the service offering. The creator tax 1099 automation market also includes sales of tax software, accounting tools, expense tracking applications, income reporting platforms, and integrated payment solutions. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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