Will PayPal inform my government?

[repsis16]

Hello. So I have just started selling with Shopify using my personal Paypal - the revenue that goes to PayPal is about 2k/month currently. (Switched to Business Paypal last week)

The question is if PayPal will share this data with my local tax authorities at any time as I do not have any legal entity or anything and I am not disclosing my income.

If this is not a good strategy, I would be thankful if you could suggest any alternatives to this.

Best,
repsis16

[rsot]

What is your paypal platform? Just to clarify I mean - .com or other country?

[repsis16]

Paypal.com - though I am not US resident or any way affiliated with US except for selling my merch to US.

I am from Eastern Europe

[rsot]

Originally Posted by repsis16

Paypal.com - though I am not US resident or any way affiliated with US except for selling my merch to US.

I am from Eastern Europe

Feels like you have answered your question - .com reaching out to your local tax authorities seems kind of a stretch...

I wonder though, as your business pp ramps up in activity, you might be asked to provided more legal entity documents...just for pp system

[repsis16]

Hmm. Are there any other kinds of Paypal accounts? Do you mean like .co.uk etc? I don't think they have those for small EU countries like mine, but I am afraid of the united EU data-sharing law.

Don't know if that affects .com Paypal though.

Do you have any advice on Pp threshold I should keep under? And what kind of documents might they ask for? I have already verified it with my personal details as it stands some time ago, but I am a bit scared since those are in fact my personal details ;D

[The_Cynic]

If you are Murkin, the rule is 20k and 200+ transactions. hit those thresholds and they issue a w-9

I see the OP has a .LV handle, Latvia?

If you registered with a US TIN (Tax Identification #) and hit the threshold, a w-9 will be issued.

If you don't file US taxes on that income, that means in the future you could have a 30% automatic witholding on US source income.

Okay, the question, will .LV Latvia? come after you for tax on Us income, doubtful.

[yobar]

Standard process to verify your identity and that of your business.
This is to help protect your business from risks such as identity theft, money laundering and financial fraud. You must have to KYC firstly, you’ll need to provide a proof of identity by uploading a copy of your personal identity. You’ll also need to provide proof of your identity and residential address with a copy of an official document from the list.

[ponciks]

Nemiz,pp neko neinformes viss atkarigs kur tu talak skaiti naudu no pp,ja uz kadu Latvija registretu banku,tad kad sasniegsi 15000 tad gaidi zvanu un vajadzes pieradit no kurienes un kapec nak nauda!
Vajag izmantot online banku kas nav registreta Latvija tad ari nebus problemu nebus!