PayPal mailed me a 2020 1099-K today. Why?

[username1121]

I received a 2020 1099-K in the mail today from PayPal. It's not marked as corrected. There's no note or additional information, just a tax document sent two years late. I think this was before the reporting requirement was reduced from $20,000 so I'm not sure why it was ever generated by PayPal in the first place. In my account I can download my 2022 1099-K but the form isn't available electronically from any other year. Why did PayPal generate this 2020 1099 and mail it to me?

[Ryhmeparchment]

How may I help you today

[ralekato]

I just got one too. I looked through my 2020 tax records, and it's the same one I submitted in 2021 for my 2020 tax return. Somebody **bleep** up. I already downloaded the 2022 one directly from PayPal yesterday.

[PayPal_Olivia]

Hello @username1121 and @ralekato,

Thank you both for your participation in the Community Forum! I appreciate your posts! I'm sorry that you received a 2020 1099-K. There was a mistake that caused some 2020 1099s to go out again that has since been rectified.

Again, apologies for the mix-up!

Olivia

[username1121]

Thank you for the update @PayPal_Olivia. For the customers bewildered by receipt of a 2-year old tax document, will PayPal be sending another letter or email explaining what happened? Was the information in the form accurate? Was it simultaneously provided to the IRS? How many customers were impacted? Why am I creating an account on a message board to hunt down information that a customer service agent is unable to provide me on the phone? The absence of transparency and communication is not what I expect from a company that wants me to trust it to handle my money. 

[PayPal_Olivia]

Hi @username1121,

I'm truly sorry for the confusion and concern that this caused you. I'm not sure what the plans are for notification of the error. This issue was only recently detected, and I've shared the information I currently know.

Because the records are from 2020, the IRS already has the information as it would have been previously reported after the close of 2020. No further action is needed from you and you can disregard the document. 

I also regret that the information was not known by the teammate who you spoke with on the phone. The error was not yet fully understood and communicated to teammates until fairly recently, and the teammate you spoke with had probably not received or seen the update yet. I realize that this caused you to be further confused and inconvenienced by the need to continue to seek answers, and I am sorry that was the case.

Thank you for your understanding, and may your day from here on out be free from any additional stress!

Olivia

[RLS-TX]

Hey @PayPal_Olivia, 

I just received a letter from the CA Franchise Tax Board saying their records show I have income from PayPal. I have only ever sent payments through PayPal, never received transaction payments. How would I go about finding out what PayPal sent the government about my account or transactions?

Thanks. 

[PayPal_Bindu]

Hey @RLS-TX,

Welcome to the PayPal Community Help Forum and thanks for posting!

I see you're looking for the income statement in your PayPal account. You can review the Tax statements from the  PayPal Statements & Tax Center page. Here’s how:

Click Settings next to “Log out.”
Click Statements and Taxes near the top of the page. 
Under the “Tax Documents” section, select the year you need from the dropdown.
Click Download all to download and view both your Form 1099-K and your Goods and Services transactions statement. 
 

You can also view and download your monthly statements which gives a quick overview of totals for payments received, amounts received, payment fees, refunds sent, amounts refunded, refunded fees, payments sent, amounts sent, other debits, other credits, and net amount. 

Hope this information helps you,

Bindu