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Old 12-10-2019
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Default paypal payments and taxes

Hello guys, I sell a lot of Items and get the payments as friends and family

will this affect tax and income according to the following message:



This one makes me worried too much



Last edited by ashrafohm; 12-10-2019 at 06:22 PM.
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Old 12-10-2019
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Default Re: paypal payments and taxes

Yes, paypal will limit your account and you'll be asked to explain 'account activity'. TO why are you receiving a lot of payments with 'friends and family' options. Most likely they will ask proof of fulfillment, invoices, tracking, business information, etc.
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Default Re: paypal payments and taxes

F&F is typically a fast track way of being limited and eventually suspended. Also with usa tax law, any and all income would need to be reported. That doesnt necessarily mean you will pay taxes on it, due to the varies tax laws, but would need to be claimed.
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Default Re: paypal payments and taxes

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Originally Posted by DocumentRequest View Post
F&F is typically a fast track way of being limited and eventually suspended. Also with usa tax law, any and all income would need to be reported. That doesnt necessarily mean you will pay taxes on it, due to the varies tax laws, but would need to be claimed.
Thank u, but actually the real progress is that i receive for a friend then cash out and send him the cash money

so no real income for me .. does that change the situation ?

how can i get rid of this ?
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Old 12-11-2019
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Default Re: paypal payments and taxes

get rid of what?
stop doing a favor for your friend?
Folks do send money to each other via F &F,parents to kids,grown adult children to elderly parents,friends sharing a meal,but I would not do so with large amount and frequently.
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Old 12-11-2019
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Default Re: paypal payments and taxes

you should keep record that the sum you received is sent to someone,if you download to a bank account?
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Default Re: paypal payments and taxes

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Originally Posted by agent006140 View Post
you should keep record that the sum you received is sent to someone,if you download to a bank account?
i send them via xoom service which is paypal service to transfer money (like western union)

without even withdrawing to my bank account, will this help ?
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Default Re: paypal payments and taxes

then you should keep records of what you receive,what you sent,
Paypal activities is kept for 7 years !
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Default Re: paypal payments and taxes

Paypal makes no money with F&F activities,the rest of us are subsidising you .
so dont abuse it
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Old 12-21-2019
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Default Re: paypal payments and taxes

Paypal does make money on F&F transfers, only it's the sender who pays the fee not the receiver...
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Old 12-21-2019
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Default Re: paypal payments and taxes

Quote:
Originally Posted by agent006140 View Post
Paypal makes no money with F&F activities,the rest of us are subsidising you .
so dont abuse it
Not true sad to say
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Old 12-21-2019
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Default Re: paypal payments and taxes

Quote:
Originally Posted by ixxx View Post
Paypal does make money on F&F transfers, only it's the sender who pays the fee not the receiver...
only if you use a credit card,or may be a debit card and foreign currencies ,sending to another country??
It should be stated in Paypal fee schedule,not all F & F is free.
domestic transfers using Paypal fund is free

Last edited by agent006140; 12-21-2019 at 10:59 AM.
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