Updating info

[happymooncat]

Hi. since yesterday I have been asking by ebay to update my info.  Is this real?. I just sold an item and the money wasnt tranfered to paypal like always did.  

Ebay also is asking for my SSN. I am the only one getting this?

[wrong66]

No, everyone eventually will. Give them the info they need for managed payments as soon as you can, then they will release your money.

[chesatank]

I am not happy about this at all.  I too just saw the needed "update".   I looked it over and did not put any information in and just backed out of it.  I am guessing they are asking for your SS number or your TIN number so they can send Form 1099 to us and the IRS.  That is fine if you are selling things you bought to make money on!!!!  I am selling things from my household and the household of my dead parents that I do not need.  The last thing I sold was a jacket I bought for myself and it was too big.  I was too late to return to the store so sold on here.  I did not even get what I paid for it but better than just hanging in my closet.  If I give eBay the information they want, they will send the "profit" amount after fees to the IRS as money I made!!!!!!  I guess they just want big sellers that do this for a living.  They want to get rid of the small people that just sell a few things instead of doing a yard sale.  I have been on eBay since 2000 and have only sold about 60 items.......I did not make money on these things.  I just get back a little money from my original cost.  I did not fill out the information.  I only have 2 items listed right now and usually only have 3-10 items listed.  Guess the "small" people are being shut out.......such a shame.  

[kensgiftshop]

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@chesatank wrote:

Guess the "small" people are being shut out.......such a shame.  

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No, we're not being shut out, but if you want to continue to sell here, you'll have to sign up for Managed Payments.

It doesn't matter if you sell 1 item a year or thousands, you'll have to sing up for MP.

[espresso_warehouse]

Ebay earns money by taking a cut of the items sold on its platform. That's their whole business model.

If you think this has a high potential for success going forward, buy their stock. Unlike Amazon, at least they pay a dividend. So there's that.

[espresso_warehouse]

I actually agree with you. People who primarily buyers that sell occasionally are very defensive of Ebay, but the degree to which Ebay continues to alienate people who are primarily sellers has the potential to define their future. Maybe you and I are the minority, in which case Ebay is happy to be rid of us. I don't see that as the case long term. The problem I see is not limited to managed payments, it's a general years long trend of marginalizing small time sellers. Their philosophy is that as long as the buyers are here, so follow the sellers. It's a fallacy. Their mission statement will need to change soon;

"At eBay, our mission is to provide a global online marketplace where practically anyone can trade practically anything, enabling economic opportunity around the world.”

As the words 'provide' and 'opportunity' tend to be in direct conflict with the reality of what it's like to be a seller here. 

[mam98031]

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@happymooncat wrote:

Hi. since yesterday I have been asking by ebay to update my info.  Is this real?. I just sold an item and the money wasnt tranfered to paypal like always did.  

Ebay also is asking for my SSN. I am the only one getting this?

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You mean you signed up for MP without even checking what it was for or how it works?  One would think that since it handles your money you'd want to understand the process.  

Your money will not go into your PP account anymore.  It is now in your MP account.  Do you know where to find that information on your balance, transfers, reports and the like?

Yes they need your SSN, it is an IRS requirement.  Years ago you gave it to PP too when IRS started the 1099K forms.

[mam98031]

@chesatank 

"I am guessing they are asking for your SS number or your TIN number so they can send Form 1099 to us and the IRS.  That is fine if you are selling things you bought to make money on!!!!"

Not exactly.  Even when you don't qualify for a 1099K, your sales from the internet are suppose to be claimed on your Federal Tax Returns.  You can offset by your expenses, so if you don't make a profit you won't have additional taxes to pay in, but you are still suppose to be claiming whatever you sell here or elsewhere on your tax returns.

"I did not even get what I paid for it but better than just hanging in my closet.  If I give eBay the information they want, they will send the "profit" amount after fees to the IRS as money I made!!!!!! "

No Ebay nor 1099Ks have anything to do with "profit".  A 1099K reports your Gross Receipts to IRS.  It is up to you to properly account for that and subtract your expenses to arrive at your net income.  You will do that on the federal tax form called a Schedule C.

They are not trying to get rid of small sellers.  But Ebay isn't here to help you evade claiming what you sell on the internet on your taxes.  Small sellers make up about 80% of the sellers on Ebay, so they aren't trying to get rid of us.  But they aren't responsible for sellers that don't claim their income on their taxes either.  They play no part in that decision.

If you aren't making a profit, you have nothing to worry about as far as taxes goes.  But you need to track your income and expenses so you can properly file the reports that you should.  You will be fine.  This really shouldn't be an issue.  it should work out just fine for you.