Paypal problem when receiving money from points rental

[jjpenguin]

I have rented out my points successfully via Davids vacation rental and have promptly received the 50% in my Paypal account.

Unfortunately I have not been able to set up my US bank account yet as I did not have the correct paperwork with me when I was there, so my PayPal is linked to my Dutch bank account

Now when I log into my paypal account, they are asking for all sorts of proof of identity, social security number etc. for the IRS. Anyone else had this happen and if so can you advise?

Thanks!

 

[fitnessmouse]

Can't really help you as I have two Paypal accounts. A dutch one (paypal.nl) and a us one (paypal.com). Maybe because you have a US Paypal account linked to a Dutch bank? I think you need to link US Paypal to US bank account or NL Paypal to NL bank account.

 

[Samaya]

If it's a very recent transaction have you accepted the payment as it might be worth declining the payment, closing that US Paypal account and then opening a new one once you have all the details?

It might be worth contacting David's rental and asking if you or they can decline this transaction and could they send it again at a later date once you have set up your US account, or have them resend it to your Dutch account; sorry I can't be of any more help and good luck.

 

[Shelly F - Ohio]

They are asking this info because they will be issuing a 1099-K tax document for anyone who sells on ebay. The total amount of your sells will be reported to the government so they have to issue you a 1099-K to report on your tax return.

By law If you make more than $600 a year Paypal is required to report your sales to the government unless you are corporation or LLC with a standard 1099.

 

[jjpenguin]

Got it sorted out now, thanks!