1099k issue Paypal and MP...

[cherrqell]

could not find any information that addresses this situation.......

so once you move from paypal payments to managed payments does your sales activity stop accepting payments on paypal?

Anyone have any intel on whether we will get a separate 1099k from paypal and ebay, or if we will get a combined 1099k from paypal and MP?

Just trying to plan my tax filing strategy for next year. Dont want to have any issues with the tax man after I file next year.

[sardonicus]

You will still get a 1099 if you meet the IRS minimums (200 transactions AND $20,000). The change will be that Ebay will be issuing you the 1099, not Paypal. You will no longer see any sales coming into your Paypal account. This does not mean buyers can't use Paypal to pay you, just that they are paying eBay, who is then dispersing it to you. Buyers still have the option of using their Paypal accounts (along with a number of other options) to make purchases. Personally, I have not seen any of my customers pay with any of the other options. They are still paying with Paypal, it's just that eBay is playing the middleman and collecting and then dispersing the funds.

[cherrqell]

Originally Posted by sardonicus

You will still get a 1099 if you meet the IRS minimums (200 transactions AND $20,000). The change will be that Ebay will be issuing you the 1099, not Paypal. You will no longer see any sales coming into your Paypal account. This does not mean buyers can't use Paypal to pay you, just that they are paying eBay, who is then dispersing it to you. Buyers still have the option of using their Paypal accounts (along with a number of other options) to make purchases. Personally, I have not seen any of my customers pay with any of the other options. They are still paying with Paypal, it's just that eBay is playing the middleman and collecting and then dispersing the funds.

What I'm asking is, say I have $22,000 in payments and 300 sales on PayPal, then after MP kicks in I get $23,000 payments 200 sales on eBay MP,s will PayPal send a 1099k for the 22k, and then will ebay send a 1099k for the 22k and the 23k? Wondering if I will get a duplicate 1099k for the extra 22k?

Tha ks, I know this is confusing.

[sardonicus]

Are you asking if you receive an additional 23K and 300 sales under MP or you have an additional 1K and 100 sales under MP? I imagine you will get two different 1099 K forms as long as you meet the minimums for each of them. It's not overlap. It's two separate companies you're doing business with. The first is Paypal, which ends when you start taking money through eBay's MP(unless you receive sales from something outside eBay). If you only do an additional 1K and 100 sales under MP then I don't see any reason eBay would submit a 1099 K for you. It doesn't meet the minimum. They are not affiliated with Paypal and I don't think they can legally share that information.

[agent006140]

You will get 2 1099K,one from Paypal and one from Ebay,IRS will get both copies

[yankee]

Every third party credit card processor will send you a 1099k that you crossed the threshold on. So in this case, Ayden/ebay and paypal will issue a 1099K by IRS mandate.

[stealthnorris]

If we are using stealth information but a real bank account,

how do we go about paying that 1099 to Uncle Sam?

[agent006140]

when you file income tax return under that stealth account SSN.

[stealthnorris]

Originally Posted by agent006140

when you file income tax return under that stealth account SSN.

So my situation is:

I will be using my friends/family's SSN for multiple stealth accounts to pass the MP verification but do not want any of that income to be added to their tax returns.

I can turn these accounts into business accounts, but if I added the same EIN across all accounts, will that flag me and potentially link all my accounts?