Account Looks Fine - Held up for Tax Information (Maybe?)

[Someguy82]

Used Paypal a few times over the last 2 years, to buy a couple of items and sold some old collectibles. $500 maybe in the last two years.

I logged on to do such a transaction for $70. Get a message that I have a notification to take care of. They want proof of my SSN (W-2 or SS card), which is pretty ridiculous. Website says they only need this from Sellers doing $20K or 200 transaction a year.  I upload my W-2. I get an email that says that proof is not sufficient because the W-2 doesn't match my name. My paypal account name is "Nick" and my W-2 is "Nicholas".

I change my Paypal account name to "Nicholas (Nick)" and reupload my W-2 per the resolution center.

Couple of days go by, I log on, and my account looks normal. No resolution center, no messages, nothing about being limited.

I go to make the transaction. Hit submit and window pops up that says "There's a problem with your account. Please visit our help center so we can help you resolve this quickly."  Go to help center, nothing there other than the normal list of help items.  I pretty sure this means I am restricted, but f*** if there's anything directly telling me.

I use the Message Center, start talking to Soniya. She says (1):

"I see that there is a Internal Revenue Service (IRS) limitation placed on your account where we required you to respond with the Tax ID/SSN and date of birth to resolve the limitation. This limitation is triggered automatically by our internal system whenever you receive a goods and service payment for the first time. You can resolve the limitation by referring the simple steps below. Here's how to add your Social Security Number to your PayPal account:

1.Click the Settings icon next to "Log out".

2.Click Update to the right of SSN.

3.Add your information and click Save.

Once you update the information, the limitation will be resolved immediately."

The thing she wrote is not something you can do to your account information. There is already a SSN there, there is no edit button.  I can change my name, my address, my email, my phones, but nothing about my SSN.  Good first lie.

Second lie, "Upon checking, I see that we haven't received any document to resolve the limitation on your account. Please visit the resolution center of your account and upload the requested documents to have the limitations resolved."

There is nothing in resolution center. And I can't make a new ticket because the resolution center is for disputing on transaction. I can't make one about my account.

Third lie, "You need to clear your cookies and cache".

Nope. Didn't work.

Now we are at: "You can submit the documents directly to me."

We are at the beyond stupid stage. Like your grandmother giving her CC number to Auto Warranty telemarket call.  So I call them, and the system recognizes your phone number and hangs up with a message, "we see your issue is being handled through the message center, goodbye."

I get that the IRS has a concern with paypal. But their own terms lay out what kind of account needs to go through this insanity for someone who is actually running business.  Has anyone else encountered this and have an easy way to solve because their CS isn't interested? Or is just stupid to keep using paypal at this point?