1099 from paypal

[sferro]

I got the following message today from a company I do mystery shops for: " [company] is not required to issue a 1099-MISC to independent contractors for the 2013 tax year. Under the Internal Revenue Code (IRC) Section 6050W, U.S. payment processors, including PayPal, are required by the Internal Revenue Service (IRS) to provide information to the IRS about certain customers who receive payments for the sale of goods or services through PayPal." Technically I did not sell them a service. I filled out a job application, signed an independent contractor agreement. This is the only company of dozens that has mentioned this. Are they correct to do this? Either way I did not make 20,000 last year and certainly didnt earn 600 from them. I dont expect a 1099 from this company or paypal. Just curious.

[PayPal_Erica]

Hi Sferro,

As far as if this company is correct in doing this or not, I'm afraid I could not say. I would have to recommend reaching out to a tax professional for the anwer to this. PayPal will not deliver a 1099K though unless you have received $20,000 USD in gross payment volume from sales of goods or services in a single year AND 200 payments for goods and services in the same year. If you have not met these requirements then you would not be receiving a 1099 k from us either.

[BanditJoe]

Erica

I am a little confused, as I thought the IRS had specific reporting "minimum" thresholds for Form 1099-K reporting. Does Paypal avoid those thresholds becasue they are technically not a credit card merchant or for some other reason?

I also use Intuit merchant services - and they very promptly sent me a Form 1099-K. 🙂

Please explain or let me know who I cna reach out to in order to confirm this.

Thank you. 🙂

[closewallet3945]

when will paypal release there 1099 to customers. I know i went over 200 transaction but way under the $20k sales? Do knew paypal interface doesn't give me an option to view tax documents

[Northeast]

If you didn't go over the 200 transactions or 20,000 will a 1099 be available online and by January 31?

[MeAlso]

Hello, I did sell more than $20000 in 2013, and got zapped by IRS with a large bill today. I cannot and could not find a 1099 on this site anywhere. I have clicked on every clickable word, I cannot find 2013 or 3014 sales for a 1099. How do I access this. You don't make it easy, and now its cost me a ton. 

Also do you have any idea., why a person who sells 199 items with over a million or two in sales does not get one. This is very strange, Desciminating at the least. 

Please reply.

JB

[camaro688]

Erica, 

         Where do I find how many transactions I have that would count towards a 1099k?

I know it is 20k with 200 transactions,You have to meet both to get a 1099k,Right?

Please help,I am also having problems finding my running total for the year.

Thanks

[Boston25]

"PayPal will not deliver a 1099K though unless you have received $20,000 USD in gross payment volume from sales of goods or services in a single year AND 200 payments for goods and services in the same year."

I just got a 1099 for around $8000. Why did I get one?