PayPal 20k Limit. Info and Questions.

[technomove]

Hi all,
I have couple questions about PP limit and is it OK providing your own info.

I have several stealth accounts and couple legit ones. First of all, this 20K limit doesn't work as I have read in Sticky Post above about PP Limits. After I reached $10k in sales my PP got limited with "Unable to Close PP account". That was fine, however after I passed $15k in sales they gave me new limitation that I no longer able to receive money from ebay, therefore I can't list new items. So that's where my sales ended at that account at $15k of sales, not $20k as some people say. My question is, if I wait until next year, will this limitations drop or they will stay until I enter my SSN? I hope that someone had this issue before, and will be able to give me clear answer.

Another issue I have is it safe providing your own SSN or EIN to IRS when your merchandise in not always 100% original, genuine, or authentic. Will IRS care about what you actually sell, or they only worry that you pay your taxes to them? All thoughts are welcome. Thanks.

[technomove]

up up up up up up up

[slim jim]

ummmm while i know that most agencys have no idea what another is doing, why would you want to make a direct link to yourself selling foo foo (i heard that for the first time on this forum) stuff. does not sound like a very good idea

[GreenBean]

Originally Posted by technomove

up up up up up up up

UP what?

Stop being ignorant and bumping threads.

You are not a noob.

Bumping a thread merely 3 hours 4 minutes open is rude.

None of us are here at your call.

[technomove]

I would like to get a solid account without $10-$15k limit, and when I mean solid I mean Top Rated Saler account. Making 20 small, new accounts makes me sad.

So have anyone had any luck with their limitations dropping next year?

[elitepowersales]

Originally Posted by technomove

What happens next year when IRS comes to that person's SSN you have on file and asks them why didn't you pay taxes on that $100k income you made last year? And that individual be like what? I don't know nothing about it, will they start investigation???

You do not want to mess with the IRS thieves. They may the ebay/paypal thieves look like amateurs.

[technomove]

Originally Posted by elitepowersales

You do not want to mess with the IRS thieves. They may the ebay/paypal thieves look like amateurs.

What to you mean by IRS thieves?

[hecubus]

I've been wondering the same thing since I just got 1099'd by paypal on a stealth account. The same thing happened on a different stealth account last December. Neither one of my accounts reached anywhere near 20k in payments received but the latest one has most likely reached the 200 payments for goods or services in the same year mark. I'm wondering if they'll stop asking for the SSN/EIN/Taxpayer ID after the year is over and my gross payment volume from sales falls below $20k?

[slim jim]

Originally Posted by hecubus

I've been wondering the same thing since I just got 1099'd by paypal on a stealth account. The same thing happened on a different stealth account last December. Neither one of my accounts reached anywhere near 20k in payments received but the latest one has most likely reached the 200 payments for goods or services in the same year mark. I'm wondering if they'll stop asking for the SSN/EIN/Taxpayer ID after the year is over and my gross payment volume from sales falls below $20k?

any chance you called paypal and asked why you received a 1099 since you didn't meet the requirements?

[hecubus]

Originally Posted by slim jim

any chance you called paypal and asked why you received a 1099 since you didn't meet the requirements?

No not yet but that will be my next step if the online contact form doesn't help. I'm guessing they're doing it just to cover their ass.

[hecubus]

I guess another good question would be how long before the account gets frozen? Can you go a month or two without providing them with an SSN?

[technomove]

If you don't sell anything you can go the whole year, but if you continue to sell they will start putting limitations on account like I said in original post.

[Jwizard]

Originally Posted by technomove

Another issue I have is it safe providing your own SSN or EIN to IRS when your merchandise in not always 100% original, genuine, or authentic. Will IRS care about what you actually sell, or they only worry that you pay your taxes to them? All thoughts are welcome. Thanks.

Answer this please.

[Packattack12]

I just got the email too...I don't know what my total sales are for the year, but I know they're not near 20k yet...I was thinking of going the EIN route but not sure yet. I went to the IRS's site and read all about it. You even get your EIN right away....just not sure yet tho.

Did you call PP yet and see why they are requesting that info when you haven't hit the limits yet? I would assume that they only care about getting their money when taxes come do. I doubt they inquire to PP about what you sell unless you aren't paying them.

Let me know what you decide to do. I probably will just end up creating another account or two to make up for it in the meantime.

[rsot]

/quote

I would like to get a solid account without $10-$15k limit, and when I mean solid I mean Top Rated Saler account. Making 20 small, new accounts makes me sad.

Takes time to build up and do ID verification. Never think for a moment that it`s just simple

[makaveliagain]

If this is true which I think you are lying; You must have gotten linked to an existing account with a Tax ID so they combined them all. You can not get a 1099k if you do not have a Tax ID on file. There is no way they can file one. Also the law specifically states it has to be both 200 transactions and 20k in payments received. You may have been limited by paypal but I highly doubt you got a 1099k.

I think you are lying about the 1099k. If you got one you would be able to break it down as it shows your payments received by month.

[makaveliagain]

Originally Posted by Jwizard

Answer this please.

No, they have a 16 trillion deficit they just want to be paid. However, that does not make you immune from eBay closing your account or Paypal shutting you down. Assuming you report income on VERO items you would have trouble providing invoices for merchandise if you are ever audited. PLEASE CONSULT A TAX PROCESSIONALL. But all the 1099K does is show payments received, you can write off all expense like and regular sole proprietorship business. If you have never filed taxes for eBay even if you tax liability is Zero the Medicare as Social Security taxes will come to a shock to some people and the scheduled Quarterly Payments to the US Treasury for most people. I WOULD STILL ADVISE CONTACTING YOUR TAX PROFESSIONAL AND POSSIBLY A LAWYER BEFORE DOING ANYTHING.

[GhostRyder72]

1099's are generally sent out in January and have a deadline of Jan 31st....same with w-2's. I doubt they received a 1099. They probably meant they got a w-9 request for info to be 1099ed.

[rsot]

OP should just see a tax accountant for sound advice.