Forum

PayPal requiring EIN Contact Name
 

I used Ebay Stealth to get back onto selling on ebay a couple of years ago. Worked great. Have almost 1000 fb on my primary account now.
However, I'm very worried that my time as a seller may be short lived once PayPal begins requiring all of the info related to my EIN.
Specifically, they are now going to make us upgrade to a Business Account and they are asking for a Business Contact name, the name that was given to the IRS when I applied for and received my EIN. Big Problem.
How do I get around this or am I essentially screwed?

Why is this a problem?

Yes please anyone can answer that question?
I have the same problem

Where in PayPal did you file your EIN number?
 

Where did you file it? Im curious. I cant figure out where to input that number.

Just got the Notification ..my account does about 15k a month ..said i have till Jan 1st to provide ss# and upgrade to Business account ..

Every state is different when it comes to EIN's and all. Your ein# has a business name. That's why you got it. At least when I got mine that's how it turned out. So I put that name in. I'd like to know were to put the ein# too. Just more proof why PP is miserably managed company. There must be tens of thousands of sellers asking the same thing!

This is normal for accounts that do this sort of money per month.

No its not after doing this for 6 years and having the same account since 1999 it specifically says this is to do with the new 6050W irs Law and takes me to the new FAQ page with all Q &A As soon as i get a Hour i will read the whole page.

Ah hour? :)

We all know PayPal has requested SSNs for certain accounts for years now. I was doing 2k a day when I got my first SSN requirement. You just happen to meet the new guidelines (over 20k gross sales and 200 payments a year) and are now required to supply either a SSN/TIN/EIN.

Important info -->

Starting in 2011, all U.S. payment providers including PayPal will be required by the IRS to report sales information about certain merchants to the IRS. We want to help you understand these changes.

* Applies to merchants receiving over $20,000 in gross sales volume AND 200 payments or more
* Applies only for sales beginning on January 1, 2011

If you meet the stated thresholds, you will be required to verify your identity by adding a SSN/TIN/EIN to your existing account. If you are currently using a Personal or Premier account, you will be required to upgrade to a Business account.

IRS 6050W covers all transactions in the tax year 2011 and each tax year that follows. Beginning in 2012, qualifying merchants will receive a 1099-K Form either electronically or by mail. Transactions occurring prior to 2011 will not be affected by this legislation.

Starting in 2010, PayPal will be asking impacted merchants to update their account by adding their SSN/TIN/EIN to their existing account(s). This information will only be requested from merchants that are potentially impacted by these requirements. If you are required to add this info, we will notify you via email and include an alert in your Account Overview.

Will I Be Affected by the 2011 Tax Changes if I Only Meet One of the Thresholds?

No. A merchant has to pass BOTH thresholds ($20,000 in gross sales volume and 200 transactions) in 2011 to qualify for the new requirements. A business receiving $10,000 in payments per year would not be affected by the new requirements.

I'm sorry if I'm a little simple hear, I can have a sale of one diamond ring for 20,000 dollars
AND have 199 sales for argument sake, 50.00 dollars and not be asked for a SS#?EIN?

I doubt it, what they're saying is in just regards to the new law.

This information will only be requested from merchants that are potentially impacted by these requirements.

I understand it's hypothetical but $20,000 in sales from 1 item/$50 in sales from 199 items sounds like you might potentially reach the requirement.

Someone on this thread stated he did $15,000/mo and was asked for information.

Yes maybe a Hour lol .. They sent me a Whole link and than a page of FAQ'S ....Like ''1.will paypal do my taxes for me ? ...What if i have Multiple accounts? ... How is the 20k calculated NET or Gross ? ..Are Personal Payment Transactions Calculated ? etc ... alot of stupid stuff -so thats my point i am going to try and weed through it ....The link/Notification is specific as to the New Law and my account .

thats 200 sales,were you trying to say if you have 20k in sales but less then 200 sales would you still be required to give your ssn? id be interested in knowing this myself

also do they wait until you reach this threshold? or do they use fuzzy math and assume you will reach this threshold and give it to you ahead of time?

so if your average sale was 200 dollars and you had 150 sales youd be at 30k but because you dont have 200 sales you wouldnt have to supply the ssn?

So we do need to open up a business account and get a tax ID number from the government and charge tax if we sell anything within the state ?

My old account was suspended and I had provide my ssn# to activate it.
So is this going to make things difficult for me ?

oh yeah, definitely.I got this one last nite.I'll stick with d website & merchant acct until i figure out a way to by pass paypal completely in my ebay auctions.Now everyone will have to upgrade to a business acct for IRS purpose.So,if u were suspended b4 & used ur SS# & of course real name,u r going to be suspended again.4m wot i understand,u'll have to use ur identity if u make 200 transactions/yr and $20,000 & above /yr cos they also said if u r not using your real name,pls upgrade now to change your name or your acct will be limited by jan 1st-i guess to their normal $500 which i can live with.u don't have to make $20,000 in sales.If u have more than one acct,your total from the other accts will give u an idea.I make about $1k or less a month on ebay but about 100-150 transactions & i've been required to do this as well.@ d end of the day,only people making $20K & above will receive a 1099.I don't trust IRS,paypal or ebay.A lot of **** is going to be dug up 4m this & even more people will be suspended.
CAN SM1 pls tell me if u can link ur merchant acct to ebay w/o them knowing ur true identity.i've been wanting to do this 4 a while but didn't want 2 take chances but now,i have no choice.I'll rather file taxes on my own than having paypal send me another 1099 & also having my ss#.

So do we have to provide all 3 SSN/TIN/EIN ? or just one ?