Paypal wants EIN but won't send it until >$20k
Paypal has requested an EIN from me, and said they'll limit my account if I don't provide it "as per IRS regulations". Not exactly sure why they requested it, since I'm nowhere near 20,000$ in sales (more like $3000 right now), and I make sure my monthly sales are under 1500 (so they can't extrapolate annually to say I'm on par to do over 20k).
Anyway, the email says that they want my EIN now and will forward it to the IRS when I surpass the required threshold. Does that mean I can provide a bogus EIN to PayPal for now, make sure I stay under 20k in sales, and they'll be none the wiser?
My understanding is that once you surpass the threshold, they send your EIN info to the IRS, and if it doesn't match their records, PP gives you one more chance to fix the documentation you submitted. So can I just submit some bogus info now, stay under the radar (under 20k), and then submit the corrected documentation IF I do happen to slip over 20k?
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