2. misc-audio
  3. 188792-6478

Paypal drastic changes

When you’re paid for goods and services, the US Internal Revenue Service (IRS) considers this reportable income.

Once you receive $600 in payments for goods and services within a calendar year, tax laws require us to withhold 24% of such payments when you have not confirmed your taxpayer status by either providing your US tax ID or completing a Certificate of Foreign Status. This 24% is sent to the IRS as backup withholding for any potential income tax due on those payments.

You can learn more about this tax law on the IRS website.

I tried to attach a link , but it wouldn't cooperate.

krelldog

Showing 1 response by krelldog

krelldog OP
311 posts
 

This started in 2024, but apparently there was a 60 day moratorium on the 24%

I thought this was still on hold, but apparently not.

Quick math- You sell an amp for 1000.00  You get paid with PP goods and services. PP takes 240.00 for the IRS, and they take their 3.9... you net 721.00 on a 1000 dollar sale.

If this is old news I apologize....I just found this out today.

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