Re: Paypal limited for SSN or EIN. What worked last year isn't working this year.
Sandy is correct, the IRS is putting lots of pressure on PAYPAL so when u r on pace to hit the 200/20,000 than Paypal asks you for the tax ID.
Now I have been hit around $5000 , so even though you turn the info in early , which is Paypal watching their own butt and being smart the last thing they want is the IRS shutting them down, does not mean it is reported , it is just collected and stored by Paypal that way as soon as you hit 200/20,000 they report your sales to the IRS.
But until than they are just getting prepared for when you do and they run a check on the business name , and as far as they know from my limited experience with this that's all that was checked , and again the latest account was end of June beginning of July I have to check my records for exact date but roughly 4 - 5 months after putting the EIN number in everything is ok.
But my plan is to keep making accounts and spreading my sales so thin I won't need to provide them with more info and has nothing to do with taxes but with the possibility of Paypal going another step forward and confirming all the data attatched to the EIN.
Big accounts don't last, but I need them to allow me funding to live and keep growing my business with all small accounts way under ebay , Paypal and any competitors competition.
I just want to look like I'm doing a hobby on the side
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