Will PayPal accept W8ben and 1042-S forms to confirm taxpayer status instead of SSN?

[efto]

Hi everybody,
I have a couple years old PayPal account which was used mostly for shopping until two months ago. I have over $50K spent using this account, buying things for my friends and myself. About two months ago I started receiving payments from friends and family ranging mostly from $10 to $40 (around 50 transactions), with 2 or 3 of exceptions ($400-$900). I also received 3-4 payments for goods and services (total $1K) and couple of payments earned on a gaming platform of a reputable company ($500).

When first payments started I received the first limitation, only the closing of the account was blocked, everything else was allowed. PayPal requested photo ID, proof of address and SSN. Couple of days later I noticed that photo ID requirement was completed, without me uploading any document (strange?!).

I ignored the limitation and continued receiving payments. A week ago I received the second limitation – “We noticed that you've been receiving, sending or withdrawing large amount of funds…”.

This time they blocked withdrawing, sending, paying, refunding…, only receiving and couple of other things were allowed. They requested proof of address, bank statement, SSN and information on account activity for 5 transactions ($10-20$).

I explained that the transactions were from gaming friends as an act of gratitude (it was completed immediately), provided bank statement, and used the same statement as a proof for the address (I don’t know if the latter will work). Both address and the bank statement are under review.
Since I don’t have an SSN how is the best to proceed? I have a W8ben form which I submitted to my bank to confirm that I am not a U.S. taxpayer. The bank also issued to me 1042-S form for the Federal tax withheld on my income related to my Dividend Deposit.

Will PayPal accept W8ben and 1042-S forms to confirm my taxpayer status instead of SSN? Is there an option for me to apply for an ITIN maybe and go that way?

Are there any other options? I would greatly appreciate your advice.

[BleepBloop]

ITIN, sure.

IRS link: https://www.irs.gov/individuals/indi...ication-number

[agent006140]

You are in one of the following categories.
Nonresident alien who is required to file a U.S. tax return
U.S. resident alien who is (based on days present in the United States) filing a U.S. tax return
Dependent or spouse of a U.S. citizen/resident alien
Dependent or spouse of a nonresident alien visa holder
Nonresident alien claiming a tax treaty benefit
Nonresident alien student, professor or researcher filing a U.S. tax return or claiming an exception

[CAPH]

If you want to apply for an ITIN you would need a verification letter from your US bank ( make sure that is singed by the banker) and a verified copy of your passport. It usually takes 8-11 weeks to get the ITIN number.

[efto]

Originally Posted by BleepBloop

ITIN, sure.

IRS link: https://www.irs.gov/individuals/indi...ication-number

Thank you, I will go with this procedure.

Originally Posted by agent006140

You are in one of the following categories.
Nonresident alien who is required to file a U.S. tax return
U.S. resident alien who is (based on days present in the United States) filing a U.S. tax return
Dependent or spouse of a U.S. citizen/resident alien
Dependent or spouse of a nonresident alien visa holder
Nonresident alien claiming a tax treaty benefit
Nonresident alien student, professor or researcher filing a U.S. tax return or claiming an exception

None of the above.
I fall under "h" (Other) on the W7 form used for requesting an ITIN from IRS + exception 1(d) - interest income. In such case I do not have to file a tax return together with the form W7.
This publication helped me a lot:

https://www.irs.gov/pub/irs-pdf/p1915.pdf

Originally Posted by CAPH

If you want to apply for an ITIN you would need a verification letter from your US bank ( make sure that is singed by the banker) and a verified copy of your passport. It usually takes 8-11 weeks to get the ITIN number.

I already have the letter from my bank stating that they need my ITIN for tax withholding purposes. Instead of passport i will submit my birth certificate and my foreign driver's license.

Is there a deadline with Paypal for submitting the required proof for SSN (ITIN in this case)? Will they wait for me 8-11 weeks to obtain the proof? Do you recommend to call Paypal and explain that I need long time to provide the documents?