Paypal account access has been limited (Tax ID)

trosky · #23 11-04-2014

This link my be a helpful read...talks about the possibility of reporting taxes for an LLC under your own personal tax returns in different schedules forms just including all LLC numbers etc, but I'm guessing you'd still have to submit your 1099 documents with mismatch name so we're in the same boat. Need a definite answer on how people in here are handling the mismatch names on their 1099 from Paypal.

Single Member Limited Liability Companies

solefoodbk · #24 11-04-2014

Haha yea I just turned 22 a little bit ago. I honestly don't even know how to get a tax professional. I really haven't tried that hard but no one I know needs one so I resort to this....We all on here at the end of the day have one thing in common, WE ALL are entrepreneurs and ambitious in one way or another or wouldn't be here.

I really shouldn't speak on it since I don't have either yet.. but it makes 100% sense to me. Like it was said earlier paypal can only see your SS & name if they feel their is a security reason to do so (on sp's). This makes 100% sense since we as american all get 1 free EIN from the government (why?) because some people don't like sharing S.S amongst other reasons..but no one can deny your not connected to your SP via your S.S

solefoodbk · #25 11-04-2014

The thing is people that know how it works don't want to share it. "Ask a tax professional is what they say"...

We all have the same common goal, motive, and end result (facing what the O.P asked about). This topic shouldn't be so taboo...because honestly we all really are striving to face this. Yes its good to spread accounts but its silly not have some power accounts in the mix. Just my 2 cents

trosky · #26 11-04-2014

Quote:

Originally Posted by solefoodbk

The thing is people that know how it works don't want to share it. "Ask a tax professional is what they say"...

We all have the same common goal, motive, and end result (facing what the O.P asked about). This topic shouldn't be so taboo...because honestly we all really are striving to face this. Yes its good to spread accounts but its silly not have some power accounts in the mix. Just my 2 cents

I understand what you mean but also see it from the other point of view, people here don't want to give you legal advice because EVEN if it's how they do it themselves it might be bad for your case specifically because each situation is different, different tax rates, states, other businesses and incomes etc. So you NEED personal advice for your particular situation. Yeah we might be able to tell you it is RECOMMENDED or most people do it this way etc but some people will take that advice and run with it and when they run into trouble they come back here and complain.

In this particular topic most people will opt for being careful and rather don't advice than give the wrong advice because the consequences could be very bad

solefoodbk · #27 11-04-2014

I understand what your saying. Im just waiting for nasty posts on this thread from senior members..

To shed a little light from my perspective ..I just moved to NYC and as of now I rely on Ebay as pretty much my main source of income. Anyone who lives in the states knows NYC is the most expensive place to live. Say someone gives me bad advice and I get all my accounts limited ...I'm homeless. Whats really the difference when it comes to the IRS? We all never really know our own situations but whenever the word IRS comes up..its taboo.

Now I'm not stupid enough for that to happen. There are certain opinions I value as I have seen them respond continually, and have proven to help with my stealth methods...

I don't even know why I bother trying to change the minds of the people who could shed light to us newbies ..but it won't happen. It's all good. This forum has helped me enough.

GreenBean · #28 11-21-2014

Quote:

Originally Posted by lightmaria

Ya I talked to 2 different cpas. I'm 22 also, and when I tried explaining how I have 5 diff ebay accounts and like 8 bank accs, a sole prop, and a LLC they thought I was crazy. But basically they all told me the same thing, that the IRS doesn't care about anything as long as they are getting your money and the tax payer numbers match up. So basically on your tax returns just write your tax id number, and write a check and you're good to go. Not sure if its that easy that's why I'm still inquiring about this stuff.

Not sure if things have changed since then.

That's actually off. Yes, IRS accepts your money but it is obliged to make sure the taxes are paid by the name on IRS file. If the IRS do an audit & there is a name difference, they need to cover themselves.

Just to let you know in view of later comments in this thread, paypal has reacted to two different users supplying INACCURATE info regarding their tax details. This info was supplied quite some time ago and unexpectedly, paypal looked into their accounts again. They are limited.

Be aware your nickname may backfire on you and your business plan.

GreenBean · #29 11-21-2014

Quote:

Originally Posted by solefoodbk

I understand what your saying. Im just waiting for nasty posts on this thread from senior members..

.

Excuse me?

apskin made a directive years ago that it was not, and is not the place for users to hand out tax advice.

This is why users get referred to seeking correct and accurate tax advice.

jeffweico · #30 11-21-2014

It is not that we don't want to be helpful. The problem is, business organization can be a complex thing and different tax laws apply to different types of businesses. State laws also vary. And IRS rules are VERY specific about who CAN and who CANNOT give tax advice. The definition of TAX ADVICE is not completely clear. So, people want to err on the side of caution.

We give the best advice we can where we can. If you need a tax professional, they are easy enough to find. Look up companies in your area that provide tax filing services. Companies like H&R Block, although you want to ideally find a smaller one that is more helpful than they are.

You mentioned that you are 22. It is clear from your statement "we as american all get 1 free EIN from the government (why?) because some people don't like sharing S.S amongst other reasons" that there is much you don't yet understand about the way the system works.

I guarantee you, the IRS did not create EIN's so that you can keep your social security number private. They were created so that EMPLOYERS would have a way to file various taxes and comply with the law. An individual is allowed ONE EIN. Why? Because each legal entity only NEEDS one EIN to report employment. Corporations and LLC's are their own legal entity, so each may have their own EIN. EIN's are ALL FREE. The IRS does not charge for them.

Individuals may need an EIN if they employ household help, or run a sole proprietorship. That is why the IRS allows individuals to have them. It has nothing to do with privacy. Someone might USE IT that way, but that is not what they were created for.

What I am trying to point out is, it is not that we do not want to be helpful. We just don't want to give you BAD advice. We do not know all of the details of your situation, and even if we DID, we are not tax experts, or experts on state law. Nobody is trying to deny you knowledge.

zexaah · #31 11-22-2014

make a new pp bro

GreenBean · #32 11-22-2014

Quote:

Originally Posted by zexaah

make a new pp bro

That does not work though.

zexaah · #33 11-22-2014

Quote:

Originally Posted by GreenBean

That does not work though.

yes it would, why wouldn't it? You can use as many paypals as you want with an ebay. the paypal doesnt even have to be under the same name as the ebay ffs lol

GreenBean · #34 11-22-2014

Quote:

Originally Posted by zexaah

yes it would, why wouldn't it? You can use as many paypals as you want with an ebay. the paypal doesnt even have to be under the same name as the ebay ffs lol

Becuase of the tax issues and the fact a limited paypal has been attached to that ebay account.

Dmshark25 · #35 11-22-2014

Quote:

Originally Posted by jeffweico

Individuals may need an EIN if they employ household help, or run a sole proprietorship. That is why the IRS allows individuals to have them. It has nothing to do with privacy. Someone might USE IT that way, but that is not what they were created for.

There is actually a law in place to prevent companies from using your SS# as a means of Identity, even though they may ask for your SS# , it's your right to protect it and not just give it out to anyone

vogeltron · #36 11-23-2014

Quote:

Originally Posted by lightmaria

ive been using an EIN with a Sole proprietorship for years now even though my ssn has been banned and haven't had a problem.

by the way you sound really obnoxious and rude when your phrase your questions like that, we're just discussing.

Second that. About 4 years since the law came into place. Knock on wood, my PayPal with my SSN attached was banned back in 06-07.

FYI anyone in US running stealth accounts. You must spread your sales out over the entire year. When you projected sales get too high PayPal will prematurely limit your account like they did the poster so they are not liable for the 1099k law. I keep a spreadsheet and shut my accounts down for the year at about 185 payments received.

zexaah · #37 11-24-2014

Quote:

Originally Posted by GreenBean

Becuase of the tax issues and the fact a limited paypal has been attached to that ebay account.

That's not going to do anything. I have a legit stealth paypal that's had about like 10 different paypals attached to it(to avoid 20k/200 #****IRS), but yeah this is the best route. I don't care if anyone doesn't condone to this, but it's a great idea.

GreenBean · #38 11-24-2014

Quote:

Originally Posted by zexaah

That's not going to do anything. I have a legit stealth paypal that's had about like 10 different paypals attached to it(to avoid 20k/200 #****IRS), but yeah this is the best route. I don't care if anyone doesn't condone to this, but it's a great idea.

Only in your opinion

Do enjoy the IRS doing a tax audit.

rsot · #39 11-24-2014

Quote:

Originally Posted by zexaah

That's not going to do anything. I have a legit stealth paypal that's had about like 10 different paypals attached to it(to avoid 20k/200 #****IRS), but yeah this is the best route. I don't care if anyone doesn't condone to this, but it's a great idea.

Playing with too much fire on one account

yankee · #40 11-24-2014

MM is most clear and accurate.

Sole Proprietor will only be investigated if paypal physically chooses to, such as, high dollar account(Hard to say how much or little, maybe anything over $30,000 a month, could be less), a spike in disputes, higher dollar transactions, spike in Chargbacks and of course any other problems/concerns paypal has such as a formal called in buyer complain or claims of foo foo, etc..
IF they do investigate, it is YOU/SS doing business as(DBA)EIN. It is a schedule C on your taxes and only you. 100% passes to you after expenses. You are the sole owner.

Now on a Corp or LLC, the members(owners) of the LLC and the Shareholders(owners) of the Corp get payrole and or 1099, to there SS....complete and 100% separation.

I hope this is clear.