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IRS Paypal for Non-US

Discussion in 'Business & Tax Advice' started by shacky, Jan 15, 2017.

  1. shacky

    shacky Newbie

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    Hello,

    so, first thing, I am not living in US. But I have an LLC company incorporated in Delaware. I have a Non-US paypal account for many years. The problem is that this year Paypal will ask me if my entity is a US entity or not. They sent me an email saying that every 3 years they will ask me so. I have EIN for my company. But every year when I file the tax delcaration to IRS I say I had no US customers so I have never paid taxes.

    Now if I will give me EIN to Paypal, will they send to IRS my income? But will they also specify if it is from US customers or not? In this case it will be a problem sooner or later since IRS will see the discrepancy between my delcaration and Paypal's.

    Any suggestions?

    I also have a non US company, I could change my Paypal from the US company to a non -US company. But having the US company is good for customers, it looks more legit.

    Thank you for you advices!
     
  2. toml3030

    toml3030 Elite Member

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    Yes, they will send a copy of your total payments received.

    No. If that makes a difference in US taxes, you declare it on your tax return.

    Yes it will.

    Well, if you want to have a legit US legal entity, you should file US tax return, even if you have no cash tax liability.
     
  3. SOWEIRD

    SOWEIRD Newbie

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    If you don't have US customers, why do you want a US business? Legal entities elsewhere offer much more freedoms and less legal restrictions. What advantage are you getting by subjecting yourself to US laws and US taxes?
     
  4. shacky

    shacky Newbie

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    Who said I don't have US customers?