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I noticed in the article that it said the guidelines for which payment processor like PayPal must report the amount the payee receives IF the amount is at least $20k OR 200 transactions.
I've read quite a few articles on this subject including an article written last year by another Auctiva editor that stated reportable requirements will be $20k AND 200 transactions.
Anyone know for sure which is accurate?
Is it $20k OR 200 transactions?
OR
Is it $20k AND 200 transactions?
I've read quite a few articles on this subject including an article written last year by another Auctiva editor that stated reportable requirements will be $20k AND 200 transactions.
Anyone know for sure which is accurate?
Is it $20k OR 200 transactions?
OR
Is it $20k AND 200 transactions?
Sounds like it is $20,000 *AND* 200 transactions.
The article I read talks about small auction type sellers. Here's an interesting excerpt:
"# Sellers that are positioned on auction sites such as eBay and Craig’s List may attempt to stay under the proposed reporting limits by diversifying their payment strategy. This would entail a seller utilizing several forms of payment to try and go ‘unnoticed’ and not cross the reporting threshold.
# Individual sellers may utilize multiple accounts (i.e. 1 personal, 1 business, 1 in my wife’s name) to spread out the revenue. Payment processors will then have to adjust their velocity systems to pool the accounts which can increase record keeping costs, customer service inquiries and maintenance costs."
Here's the full article:
http://www.fraudpractice.com/h...recoveryact2008.html
I found the following there, tucked in a copy of the Housing and Economic Recovery Act 2008:
(e) EXCEPTION FOR DE MINIMIS PAYMENTS BY THIRD PARTY SETTLEMENT ORGANIZATIONS.—A third party settlement organization shall be required to report any information under subsection
(a) with respect to third party network transactions of any participating payee only if— ‘‘
(1) the amount which would otherwise be reported under subsection (a)
(2) with respect to such transactions exceeds $20,000, and ‘‘
(2) the aggregate number of such transactions exceeds 200. ‘‘
---------------------------------------------------------------
More on this subject :
> http://www.irs.gov/pub/irs-news/reg-139255-08.pdf
> http://us.kpmg.com/microsite/t...g/6050_Reporting.pdf
The article I read talks about small auction type sellers. Here's an interesting excerpt:
"# Sellers that are positioned on auction sites such as eBay and Craig’s List may attempt to stay under the proposed reporting limits by diversifying their payment strategy. This would entail a seller utilizing several forms of payment to try and go ‘unnoticed’ and not cross the reporting threshold.
# Individual sellers may utilize multiple accounts (i.e. 1 personal, 1 business, 1 in my wife’s name) to spread out the revenue. Payment processors will then have to adjust their velocity systems to pool the accounts which can increase record keeping costs, customer service inquiries and maintenance costs."
Here's the full article:
http://www.fraudpractice.com/h...recoveryact2008.html
I found the following there, tucked in a copy of the Housing and Economic Recovery Act 2008:
(e) EXCEPTION FOR DE MINIMIS PAYMENTS BY THIRD PARTY SETTLEMENT ORGANIZATIONS.—A third party settlement organization shall be required to report any information under subsection
(a) with respect to third party network transactions of any participating payee only if— ‘‘
(1) the amount which would otherwise be reported under subsection (a)
(2) with respect to such transactions exceeds $20,000, and ‘‘
(2) the aggregate number of such transactions exceeds 200. ‘‘
---------------------------------------------------------------
More on this subject :
> http://www.irs.gov/pub/irs-news/reg-139255-08.pdf
> http://us.kpmg.com/microsite/t...g/6050_Reporting.pdf
Thank you Dan!
I really appreciate that you took the time to put that information together. Very help info!
Thanks again
I really appreciate that you took the time to put that information together. Very help info!
Thanks again