200 items and 20k limit - eBay Suspended & PayPal Limited Forums
eBay Suspension & PayPal Limited Forums  
Join Today
Register Subscribe
     

Registration is fast, simple and absolutely free so please, join our community today!


Go Back   Home > Marketplace Discussions > PayPal Talk

PayPal Talk PayPal Forums. General issues related to PayPal.

Reply
 
Thread Tools
  #1  
Old 03-31-2019
Junior Member
 
Join Date: Oct 2018
Posts: 50
Thanks: 0
Thanked 7 Times in 5 Posts
Activity: 0%
Longevity: 11%
iTrader: (0)
Default 200 items and 20k limit

With their new system, if I get a new EIN and upload it on PayPal, will they warm me before reaching the 200/20k sales or they will just report me to IRS?:brushteet h:
Reply With Quote
The complete step-by-step guide to get back to selling today!

  #2  
Old 03-31-2019
agent006140's Avatar
Senior Member
 
Join Date: Jul 2018
Posts: 7,119
Thanks: 858
Thanked 546 Times in 507 Posts
Activity: 98%
Longevity: 12%
iTrader: (0)
Default Re: 200 items and 20k limit

it will send 1099 if you reach 200 transactions AND $20K,one goes to IRS and another copy comes to you.
There is no warning,it is not a firedrill
Reply With Quote
  #3  
Old 03-31-2019
Junior Member
Threadstarter  
 
Join Date: Oct 2018
Posts: 50
Thanks: 0
Thanked 7 Times in 5 Posts
Activity: 0%
Longevity: 11%
iTrader: (0)
Default Re: 200 items and 20k limit

Sure... but till now they were asking for SSN if you were over-passing or even approaching your limits
Reply With Quote
  #4  
Old 03-31-2019
slokor's Avatar
Executive [VIP]
 
Join Date: Aug 2008
Posts: 8,938
Thanks: 299
Thanked 2,054 Times in 1,510 Posts
Activity: 95%
Longevity: 88%
iTrader: (89)
Default Re: 200 items and 20k limit

If you upload the EIN before they notify you then theres no reason to notify you and youll get a 1099 at the end of the year.
__________________
USA SELLER ACCOUNT EXCLUSIVES: 1,000/$100,000 AND 5,000/$500,000 - AGED!
ENTER MY STORE OR CONTACT ME
Reply With Quote
  #5  
Old 03-31-2019
Senior Member
 
Join Date: Apr 2018
Posts: 537
Thanks: 1
Thanked 117 Times in 91 Posts
Activity: 3%
Longevity: 15%
iTrader: (0)
Default Re: 200 items and 20k limit

If I use multiple EIN on multiple accounts, do they all count to the total?
Reply With Quote
  #6  
Old 03-31-2019
agent006140's Avatar
Senior Member
 
Join Date: Jul 2018
Posts: 7,119
Thanks: 858
Thanked 546 Times in 507 Posts
Activity: 98%
Longevity: 12%
iTrader: (0)
Default Re: 200 items and 20k limit

why dont you go to IRS.com and find out
Reply With Quote
  #7  
Old 04-02-2019
Junior Member
Threadstarter  
 
Join Date: Oct 2018
Posts: 50
Thanks: 0
Thanked 7 Times in 5 Posts
Activity: 0%
Longevity: 11%
iTrader: (0)
Default Re: 200 items and 20k limit

Quote:
Originally Posted by slokor View Post
If you upload the EIN before they notify you then theres no reason to notify you and youll get a 1099 at the end of the year.
Any tip to stay under the radar of those 200 sales/20k limit? i know friends and family payment does not count....
Reply With Quote
  #8  
Old 04-02-2019
agent006140's Avatar
Senior Member
 
Join Date: Jul 2018
Posts: 7,119
Thanks: 858
Thanked 546 Times in 507 Posts
Activity: 98%
Longevity: 12%
iTrader: (0)
Default Re: 200 items and 20k limit

they would tell u to open more stealth accounts and spread your selling among them so you would not reach the limit,but you would need more eins
Reply With Quote
  #9  
Old 04-02-2019
BleepBloop's Avatar
Junior Member
 
Join Date: Nov 2016
Posts: 65
Thanks: 46
Thanked 14 Times in 13 Posts
Activity: 15%
Longevity: 25%
iTrader: (0)
Default Re: 200 items and 20k limit

Quote:
Originally Posted by Leader2dark View Post
If I use multiple EIN on multiple accounts, do they all count to the total?
If you open multiple accounts linked to one EIN all of them will count towards the 200 transactions and $20K for that particular EIN.

If you, say, have a personal account and business account under your SSN, any sales transactions from those two accounts will count towards the thresholds for your SSN.

Quote:
Originally Posted by triplex View Post
Any tip to stay under the radar of those 200 sales/20k limit? i know friends and family payment does not count....
You'd have to be super nerdy detail oriented on the bookkeeping and maintain an accounting record of ALL your sales transactions per account. It can be on a spreadsheet or an Invoicing program that has a feature that counts how many transactions and how much in dollar amount, margins between gross and net, etc, you made.

Last edited by BleepBloop; 04-02-2019 at 01:37 PM.
Reply With Quote
The Following User Says Thank You to BleepBloop For This Useful Post:
agent006140 (04-02-2019)
  #10  
Old 04-02-2019
agent006140's Avatar
Senior Member
 
Join Date: Jul 2018
Posts: 7,119
Thanks: 858
Thanked 546 Times in 507 Posts
Activity: 98%
Longevity: 12%
iTrader: (0)
Default Re: 200 items and 20k limit

if you sell $20k and 190 transactions on Ebay,and sell $10k and 200 transactions on AMZN,you dont get 1099 from either.
now if you sell on ebay,amzn ,etsy,ioffer,spotify and keep each under $20k and 200 transactions,you would not get any 1099.
Reply With Quote
  #11  
Old 04-02-2019
slokor's Avatar
Executive [VIP]
 
Join Date: Aug 2008
Posts: 8,938
Thanks: 299
Thanked 2,054 Times in 1,510 Posts
Activity: 95%
Longevity: 88%
iTrader: (89)
Default Re: 200 items and 20k limit

Youre asking some questions that are better suited for a professional accountant. Contact one and go over your questions to get the right answers.
__________________
USA SELLER ACCOUNT EXCLUSIVES: 1,000/$100,000 AND 5,000/$500,000 - AGED!
ENTER MY STORE OR CONTACT ME
Reply With Quote
  #12  
Old 04-03-2019
Junior Member
Threadstarter  
 
Join Date: Oct 2018
Posts: 50
Thanks: 0
Thanked 7 Times in 5 Posts
Activity: 0%
Longevity: 11%
iTrader: (0)
Default Re: 200 items and 20k limit

Quote:
Originally Posted by agent006140 View Post
if you sell $20k and 190 transactions on Ebay,and sell $10k and 200 transactions on AMZN,you dont get 1099 from either.
now if you sell on ebay,amzn ,etsy,ioffer,spotify and keep each under $20k and 200 transactions,you would not get any 1099.
I only do direct payments, sometimes I ask clients to send money for F&F.
Reply With Quote
  #13  
Old 04-05-2019
agent006140's Avatar
Senior Member
 
Join Date: Jul 2018
Posts: 7,119
Thanks: 858
Thanked 546 Times in 507 Posts
Activity: 98%
Longevity: 12%
iTrader: (0)
Default Re: 200 items and 20k limit

if Paypal caught you accepting friend and family payments for goods you sold,it will warn you or shut down your account.it is fee avoidance
Reply With Quote
  #14  
Old 04-05-2019
agent006140's Avatar
Senior Member
 
Join Date: Jul 2018
Posts: 7,119
Thanks: 858
Thanked 546 Times in 507 Posts
Activity: 98%
Longevity: 12%
iTrader: (0)
Default Re: 200 items and 20k limit

Quote:
Originally Posted by triplex View Post
I only do direct payments, sometimes I ask clients to send money for F&F.
if you ever get an IRS audit or state sales tax audit,they will review 4 years worth of your bank statements,any incoming payments which is not SS,salary,insurance,inheritance ,they want to know more as it is earnings
Reply With Quote
  #15  
Old 04-05-2019
Junior Member
Threadstarter  
 
Join Date: Oct 2018
Posts: 50
Thanks: 0
Thanked 7 Times in 5 Posts
Activity: 0%
Longevity: 11%
iTrader: (0)
Default Re: 200 items and 20k limit

Quote:
Originally Posted by agent006140 View Post
if you ever get an IRS audit or state sales tax audit,they will review 4 years worth of your bank statements,any incoming payments which is not SS,salary,insurance,inheritance ,they want to know more as it is earnings

You mean if I will do on my SSNed PayPal 300 items and 30 000 in sales in 1 year... ( I am a student) , most likely nothing will happen ? like no knock knock on the door from Police or IRS?
Reply With Quote
  #16  
Old 04-07-2019
agent006140's Avatar
Senior Member
 
Join Date: Jul 2018
Posts: 7,119
Thanks: 858
Thanked 546 Times in 507 Posts
Activity: 98%
Longevity: 12%
iTrader: (0)
Default Re: 200 items and 20k limit

IRS audit or STate SALES TAX audit have nothing to do with how much you have collected.
of course that 1099k sent to IRS will tell them you have been selling .
State just want to know if you are collecting sales tax for them and remitting to them and if you have bought something from others and they did not collect sales tax from you,you may have to pay USE tax.
IRS audit -they will usually tell you what area of your return they will audit,sometimes they want to audit everything,some times just your small business or personal deductions.
Reply With Quote
  #17  
Old 04-07-2019
agent006140's Avatar
Senior Member
 
Join Date: Jul 2018
Posts: 7,119
Thanks: 858
Thanked 546 Times in 507 Posts
Activity: 98%
Longevity: 12%
iTrader: (0)
Default Re: 200 items and 20k limit

Quote:
Originally Posted by triplex View Post
You mean if I will do on my SSNed PayPal 300 items and 30 000 in sales in 1 year... ( I am a student) , most likely nothing will happen ? like no knock knock on the door from Police or IRS?
if you do 300 transactions AND $30k,PAYPAL will send copies of 1099 to you and IRS.
Whether IRS will audit you or not,no one knows.
but you should report it,there is a form for small business you can download with explanations and plug some numbers in to see how it goes.just remember the 1099 total PAYPAL reports is the gross,you need to take out the sales tax you have collected,refunds and returns to come up with the net sales.
plenty of deduction to offset that net sales,like cost of goods sold,freight in and freight out ,mileage deduction for use of your car,if you have more than one phone,second one is deductible,ebay fees,paypal fees,shipig suplies,computers you use,software you subscribed etc etc,if yu haev a home office,thats deductible too
Reply With Quote
  #18  
Old 04-07-2019
agent006140's Avatar
Senior Member
 
Join Date: Jul 2018
Posts: 7,119
Thanks: 858
Thanked 546 Times in 507 Posts
Activity: 98%
Longevity: 12%
iTrader: (0)
Default Re: 200 items and 20k limit

if you are self employed,you can also deduct your healthcare premium.
by the time you are done with deductions,you may find you make nothing or lose money
Reply With Quote
  #19  
Old 04-08-2019
Junior Member
Threadstarter  
 
Join Date: Oct 2018
Posts: 50
Thanks: 0
Thanked 7 Times in 5 Posts
Activity: 0%
Longevity: 11%
iTrader: (0)
Default Re: 200 items and 20k limit

Quote:
Originally Posted by agent006140 View Post
if you do 300 transactions AND $30k,PAYPAL will send copies of 1099 to you and IRS.
Whether IRS will audit you or not,no one knows.
but you should report it,there is a form for small business you can download with explanations and plug some numbers in to see how it goes.just remember the 1099 total PAYPAL reports is the gross,you need to take out the sales tax you have collected,refunds and returns to come up with the net sales.
plenty of deduction to offset that net sales,like cost of goods sold,freight in and freight out ,mileage deduction for use of your car,if you have more than one phone,second one is deductible,ebay fees,paypal fees,shipig suplies,computers you use,software you subscribed etc etc,if yu haev a home office,thats deductible too
Do I need to keep recipes for each of them? can i ⊗⊗⊗⊗ them? or get an invoice from a seller who sell for 700$, even if i bought the item from China for 500$?
Reply With Quote
  #20  
Old 04-08-2019
agent006140's Avatar
Senior Member
 
Join Date: Jul 2018
Posts: 7,119
Thanks: 858
Thanked 546 Times in 507 Posts
Activity: 98%
Longevity: 12%
iTrader: (0)
Default Re: 200 items and 20k limit

if you are audited by IRS agent,he would usually tell you which part of your return he is targeting .
if he is looking into your small business,yes,he could ask for vendor invoice,sales ledger,bank statements for last 2 years/I think it is 2 years,not 4 years.
you can make up vendor invoices,but he could also look into your cc statement or bank statement to see how much you actually pay?
say your vendor invoices said you bought 5k worth of goods,but your bank statements and cc statements come short of 5k,ofc ourse you can say you pay cash,but where does cash come from,it would have to be from your bank account or ??
IRS resources are limited,they usually go after folks who report higher income,aint worth the time and efforts to chase the small sellers
Reply With Quote
  #21  
Old 04-08-2019
agent006140's Avatar
Senior Member
 
Join Date: Jul 2018
Posts: 7,119
Thanks: 858
Thanked 546 Times in 507 Posts
Activity: 98%
Longevity: 12%
iTrader: (0)
Default Re: 200 items and 20k limit

state audit is different,in my state,they audit retailers for last 4 years of sales asking to see sales ledger,vendor invoices,bank statements etc
They are looking for orders you sold to customers in your state and if you did not collect sales tax,they expect you to pay.
There is also use tax,you should talk to your accountant,he will explain it better .
Reply With Quote
  #22  
Old 04-08-2019
agent006140's Avatar
Senior Member
 
Join Date: Jul 2018
Posts: 7,119
Thanks: 858
Thanked 546 Times in 507 Posts
Activity: 98%
Longevity: 12%
iTrader: (0)
Default Re: 200 items and 20k limit

Quote:
Originally Posted by triplex View Post
Do I need to keep recipes for each of them? can i ⊗⊗⊗⊗ them? or get an invoice from a seller who sell for 700$, even if i bought the item from China for 500$?
IF HE really wants to nickpick,he could take your invoice which said $700 and ask you for the payment receipt which show you pay this vendor XYZ $700,not $500,you can either show him a cancelled check,credit card receipt or cc/bank statement which contains this $700 amount.
Reply With Quote
Reply



Thread Tools

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are On
Pingbacks are On
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
20 items limit but listed 100 Dufus eBay Discussion! 12 09-22-2015 12:18 AM
paypal's 200 items and 20k limit eencn9 PayPal Talk 10 01-31-2015 10:07 AM
ebay reduce selling limit from 2550 items to 160 items! WTF royzilla eBay Discussion! 14 12-20-2014 09:56 AM
200 Items Paypal Limit jman33 Subscriber Discussions 1 07-29-2011 10:47 AM
new Au ebay limit 10 items and $500 now? wgj110110 Australia eBay & Paypal 8 05-06-2011 06:52 PM


Aspkin Group

All times are GMT -5. The time now is 08:31 AM.


Stop the guessing games and learn how you can quickly and easily get back on eBay today!
Read the best selling step-by-step eBay Suspension guide eBay Stealth!
Amazon Suspension? Read Amazon Ghost to get back on Amazon!
vBulletin® Copyright ©2000 - 2020, Jelsoft Enterprises Ltd.
Ad Management by RedTyger
no new posts