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05-02-2018
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Activity: 0% Longevity: 37% | | PayPal only giving option of SSN or ITIN (no EIN)
Hi there,
I have tried to stay on track for staying under $20k a year. I have been selling about $1400-$1500 a month and was still asked by PayPal to provide my tax information.
I ordered an LLC via legalzoom so I can get an EIN for this account, but when I go into my PayPal, the notification is only giving me an option to pick from either SSN or ITIN, there is no EIN option.
If anyone can please shed light on this matter!
Thank you!
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05-02-2018
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Activity: 1% Longevity: 100% | | Re: PayPal only giving option of SSN or ITIN (no EIN)
Can you still upgrade to a business account? Probably too late now but that's where you get the EIN option.
You should be spread out your sales over multiple PayPal accounts to reduce this risk.
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05-02-2018
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Activity: 0% Longevity: 39% | | Re: PayPal only giving option of SSN or ITIN (no EIN)
yes upgrading to biz is the answer for sure you can also call paypal and they can help you with that typically the front line people wont ask a lot of questions so not usually a worry there i ususally say im at work but i have a quick problem can you help me with it and if they try to do identity stuff i say im at work will have to call back
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05-02-2018
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Activity: 0% Longevity: 52% | | Re: PayPal only giving option of SSN or ITIN (no EIN) Quote:
Originally Posted by StealthLannister Hi there,
I have tried to stay on track for staying under $20k a year. I have been selling about $1400-$1500 a month and was still asked by PayPal to provide my tax information.
I ordered an LLC via legalzoom so I can get an EIN for this account, but when I go into my PayPal, the notification is only giving me an option to pick from either SSN or ITIN, there is no EIN option.
If anyone can please shed light on this matter!
Thank you! | $1,500 is way too high, stay in $500-700 range
Paypal has been sensitive since the TOS Update
Lots of SSN requests
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05-02-2018
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Activity: 0% Longevity: 37% | | Re: PayPal only giving option of SSN or ITIN (no EIN) Quote:
Originally Posted by empirestate |
Oh my, $500-$700 is so low, I'm going to have to double my accounts |
05-02-2018
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Activity: 0% Longevity: 37% | | Re: PayPal only giving option of SSN or ITIN (no EIN) Quote:
Originally Posted by aspkin Can you still upgrade to a business account? Probably too late now but that's where you get the EIN option.
You should be spread out your sales over multiple PayPal accounts to reduce this risk. |
I will try to see if there is a way around it and request for a business account, if not, I will be contacting paypal.
Thank you guys for the reply!
I will update this post for anyone that has future problems like this one.
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05-02-2018
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Activity: 0% Longevity: 60% | | Re: PayPal only giving option of SSN or ITIN (no EIN)
upgrade is the only option. Also in the future, you can get the EIN for free on the IRS website and then file for just the state fee on the state website. Not really any need for an auto populator such as legalzoom.
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05-02-2018
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Activity: 0% Longevity: 37% | | Re: PayPal only giving option of SSN or ITIN (no EIN) Quote:
Originally Posted by yankee upgrade is the only option. Also in the future, you can get the EIN for free on the IRS website and then file for just the state fee on the state website. Not really any need for an auto populator such as legalzoom. | How long does this process take if I go through the IRS website myself?
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05-02-2018
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Activity: 0% Longevity: 37% | | Re: PayPal only giving option of SSN or ITIN (no EIN) Quote:
Originally Posted by empirestate |
Also,
is paypal more strict about enforcing the $20k dollar amount per year or the 200 transactions per year, or both?
I sell medium priced items about $20-$40 an item and I can reach that 200 transactions pretty quickly.
I can create more accounts, but I would need over 40 to make this work if I'm only limited to $500/month.
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05-02-2018
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Activity: 0% Longevity: 60% | | Re: PayPal only giving option of SSN or ITIN (no EIN) Quote:
Originally Posted by StealthLannister How long does this process take if I go through the IRS website myself? | a couple minutes to get the EIN number. That is the important part as far as paypal goes.
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05-02-2018
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Activity: 0% Longevity: 34% | | Re: PayPal only giving option of SSN or ITIN (no EIN) Quote:
Originally Posted by StealthLannister Also,
is paypal more strict about enforcing the $20k dollar amount per year or the 200 transactions per year, or both?
I sell medium priced items about $20-$40 an item and I can reach that 200 transactions pretty quickly.
I can create more accounts, but I would need over 40 to make this work if I'm only limited to $500/month. | On PP's website the 1099K tax form is sent to you and the IRS once you've reached 200 transactions AND 20k in sales. Although legally you should be paying taxes on any income over $300.
I've read that PP will start asking for your SSN once you've hit around ~175/17500 OR when monitoring algorithms predict that based on your current sales velocity and price you'll be hitting the 200/20k threshold before the year is up.
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05-03-2018
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Activity: 0% Longevity: 37% | | Re: PayPal only giving option of SSN or ITIN (no EIN) Quote:
Originally Posted by yankee a couple minutes to get the EIN number. That is the important part as far as paypal goes. |
Lets say account A associated with EIN(A) gets banned.
Would it affect me in any way if I kept opening and closing multiple EIN's / LLC's?
Also, would you be able to reference me to a link where I can learn more about the process of manually applying to cut me some costs?
For example, after I apply for an EIN via IRS website, don't I need to file for a fictitious business name and reserve it for the LLC part (especially when having to file for taxes)
^
I plan to open multiple stealth business accounts.
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05-03-2018
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Activity: 0% Longevity: 53% | | Re: PayPal only giving option of SSN or ITIN (no EIN)
Did you pay for Legalzoom? I live in Florida and went online and got one for free in 5 minutes? Quote:
Originally Posted by StealthLannister Hi there,
I have tried to stay on track for staying under $20k a year. I have been selling about $1400-$1500 a month and was still asked by PayPal to provide my tax information.
I ordered an LLC via legalzoom so I can get an EIN for this account, but when I go into my PayPal, the notification is only giving me an option to pick from either SSN or ITIN, there is no EIN option.
If anyone can please shed light on this matter!
Thank you! | |
05-03-2018
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Activity: 4% Longevity: 49% | | Re: PayPal only giving option of SSN or ITIN (no EIN) Quote:
Originally Posted by StealthLannister
Also, would you be able to reference me to a link where I can learn more about the process of manually applying to cut me some costs?
For example, after I apply for an EIN via IRS website, don't I need to file for a fictitious business name and reserve it for the LLC part (especially when having to file for taxes)
^
I plan to open multiple stealth business accounts. | It wouldn't be a fictitious business since you made it into a legal entity in the previous step. But yes, within 2 years of getting an EIN you would need to go onto whatever state's Business One Stop website and fill out articles or organization for an LLC. Quote:
Would it affect me in any way if I kept opening and closing multiple EIN's / LLC's?
| I'm sure if you opened and closed 50 businesses someone would start getting suspicious. It's not going to link your eB/PP's though.
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05-03-2018
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Activity: 1% Longevity: 76% | | Re: PayPal only giving option of SSN or ITIN (no EIN)
Depending on how much your volume is, I doubt you would need sooo many llcs, monthly limits can increase very easily when eBay is used correctly.
(BTW, its been my first post in a while, missed the stealth world, been building a phone repair business from stealth, ) #HennyThingIsPossible
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11-18-2019
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Activity: 55% Longevity: 91% | | Re: PayPal only giving option of SSN or ITIN (no EIN)
Old thread. Make a new one please
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