https://www.thepaypalblog.com/2008/08/proposed-irs-reporting-requirements-become-law/ http://online.wsj.com/article/SB121737220325394931.html.html?mod=2_1581_topbox Does anyone know anything about this? Is this true that you don't need to report to IRS if your making under $200,000 a year? Thanks. Can't seem to find any answers around so i guess ill ask here once more.
From what I read from the two articles, if you make more than $20,000 a year through Paypal, Paypal would be required to submit the 1099 form for you. However, it does not mean that you do not need to report to IRS from your end because income is still income no matter how you get it.
Is quite confusing. I have no idea how to report right now since my affiliate network won't do it for me (they dunno how to help since their not in the US). Plus im only 17 yrs old so if i report to IRS, i might get in trouble since the affiliate network only allows 18+. Also I find that i need to file a schedule C or something like that to the IRS but i need an EIN for that matter. How can i apply for an EIN if i don't own any sort of business? So yea i am like so confused right now as I started making my first income...
Well, as you you signing up for your affiliate network by lying about your age is not IRS or your affiliate network problem, it is something you need to blame yourself for. You could ask your parents or anyone you know who paid taxes. Your affiliate network would not necessary report your tax for you because you need to do so yourself as you would need to consolidate all your taxable incomes and deductions.