PayPal 1099???

[anng]

Originally Posted by charmed

Guess what:

Right on the Instruction Form for the 1099 for 2011 it says not to give anyone a 1099 misc if you used a third party payment method other than check and cash! I hadn't sent out my 1099's yet, and just today got out the paperwork and it's on the first page. I only need to send out one now because I only paid one person by check.

So, if you're getting people to report your income on 1099 MISC who pay by third party payment system, please go to my blog and I will post a picture of the relevant passage and you can send them a copy. It'll take me a few minutes to get it up and feel free to share.

That's good to know. I have two 1099s so far from clients who paid via Paypal.

[charmed]

This site won't let me put a link to Tax Mama's information, but if you click Va mom below in my sig there is an answer to all these issues, look at the post but look at the comments too. In the comments I link to instructions to deal with double reporting on the 1099-K and erroneously sent 1099's as well.

[WorkingMom227]

I figured it out LOL

[c.right]

From your main account overview page, click either "view all my transactions" or "history." You then need to select the date range, either from the dropdown menu or manually.

[sugarbear77]

I'm a little confused.

So, since I received all of my payments thru Paypal, none of my clients have to issue a 1099, right? Even though I didn't receive over $20,000 and 200 payments? If they don't have to issue a 1099, then I just need to claim all the income as "other income" on my taxes, right? Pretty much like I did last year since I only had one or two 1099's and about 10 grand worth of income.

Now, I have already received a 1099 from one of my clients for $1800. Since I don't meet the PP requirements for the 1099-K (or whatever it is), this 1099 shouldn't be a problem, as far as double-reporting, right? Because PP won't be issuing me the other.

I just want to make sure I'm doing everything by the book.

[charmed]

You are right but you might want to inform them that while it's okay this year, to note the new rules for next year.

Originally Posted by sugarbear77

I'm a little confused.

So, since I received all of my payments thru Paypal, none of my clients have to issue a 1099, right? Even though I didn't receive over $20,000 and 200 payments? If they don't have to issue a 1099, then I just need to claim all the income as "other income" on my taxes, right? Pretty much like I did last year since I only had one or two 1099's and about 10 grand worth of income.

Now, I have already received a 1099 from one of my clients for $1800. Since I don't meet the PP requirements for the 1099-K (or whatever it is), this 1099 shouldn't be a problem, as far as double-reporting, right? Because PP won't be issuing me the other.

I just want to make sure I'm doing everything by the book.