Does Paypal track taxes?

juice

Regular Member

Dec 1, 2009

449

51

• Feb 26, 2010

• #1

If I am accepting payments on paypal, will the IRS be able to track this? Does Paypal report the amount of income earned?

 

M

mcgraw

Newbie

Jan 26, 2010

22

101

• Feb 28, 2010

• #2

ya. the government can call them up to ask for transaction details

 

N

nojrellum

Newbie

Feb 23, 2010

42

10

• Feb 28, 2010

• #3

PayPal = online paper trail

 

juice

Regular Member

Dec 1, 2009

449

51

• Mar 1, 2010
• Thread Starter Thread Starter

• #4

But they don't distribute a 1099 or anything to the IRS right?

Also, since paypal is an 'online paper trail' do you guys use a different payment system?

 

hotwicked

Regular Member

Jul 28, 2008

238

52

• Mar 1, 2010

• #5

If you have never entered a SSN or EIN, it would be rather hard for PP or the IRS to track anything with regards to the account. Use their PP debit card and cash is cash.

 

Qokaine

BANNED

Mar 8, 2009

416

164

• Mar 1, 2010

• #6

i think in 2012 i read that they'll report taxes, not exactly sure.

 

juice

Regular Member

Dec 1, 2009

449

51

• Mar 1, 2010
• Thread Starter Thread Starter

• #7

Thanks! This is what I plan on doing. I figure this is one of the best options right now (instead of depositing massive amounts of cash into your bank account).

hotwicked said:

If you have never entered a SSN or EIN, it would be rather hard for PP or the IRS to track anything with regards to the account. Use their PP debit card and cash is cash.

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