PayPal and the IRS

onthewayup

Banned
Aug 3, 2009
2,063
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Roanoke, VA
Don't blast me if I'm WAY late on this subject.

If you're making mad money through paypal, you need to read this:

https://cms.paypal.com/us/cgi-bin/marketingweb?cmd=_render-content&content_ID=marketing_us/IRS6050W

Yea, I'm not EXACTLY legal right now. But now I will be, because of the above.

Let me know if you can't see it, i'll post what it says. I was like "FUCK" when I first read it since it applies to me, but now I'm like "YES I CAN".

Lol. The last sentence was lame. What is your guys thoughts?
 


Not trying to screw with them...but I guess I have been for the past 6 months. Now, I'm gonna get COMPLETELY legal, but Damn...I hate taxes.

Thank god for my write-off master.
 
It says $20k AND more than 200 transactions.

So if a guy sells 199 cars for 100,000, I guess he's good. Laws. Meh
 
It says $20k AND more than 200 transactions.

So if a guy sells 199 cars for 100,000, I guess he's good. Laws. Meh

You got a point.

It's like once you get to 190, cut off business until the next calendar year lol.

They also say that they add this up across multiple accounts.

Account 1: 100 sales, 15k
Account 2: 100 sales, 5k

Then you're fucked.
 
It says $20k AND more than 200 transactions.

So if a guy sells 199 cars for 100,000, I guess he's good. Laws. Meh


Do not plan on those levels staying more than a couple of years tops. They did the same thing with cash transactions and money transfers out of the country. Start with a high number and then lower it once they get it working. Eventually anybody that accepts money will get it reported to the irs.
 
You guys who think that "AND" word is really going to protect you? lol... I bet PayPal sends data on anyone who gets close to either of those limits, just to protect themselves. Ya'll niggas best be payin' yo taxes.
 
Paying my taxes, I just think the less information about me personally handed over to me on a compulsory basis to the government the better.
 
so if we recieve EPN payments via payal, we get a 1099 from Ebay AND from PayPal for the same funds, but now counted twice in the eyes of the IRS?
 
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

So apparently 199 sales @ 250k wouldnt count
 
Meh, don't panic. It's not retroactive. Your earnings for the past few years can't be reported. Starting 11', they can be though. So it really won't come to frutition until you file your 2011 taxes.
 
At least our taxes in Australia go towards health care and shit like that, your taxes are blown on wars. Good luck!