Hello, I have been using Paypal for a little while, but am considering upgrading to either a business or a merchant account. We run a small, online business of digital goods and would like to accept payment via Paypal. I remembered reading recently that the US government is now requiring all income collected online to be produced for tax purposes when there is a certain number of unique sales and a level of income reached. While we have always planned on listing any business income, we are wondering if actual W-2s will be sent. This is a family business and many different people are contributing to it's success. Our concern is if W-2s are produced, one person would shoulder the entire tax burden for every member of the group. As we are in the process of forming an LLC and are looking into getting a federal ID number. If/when we do, would all tax information go to that specific number, or would it still land as the responsibility of the primary person on this account?
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