eBay block US sellers for not providing their Tax ID

No primary category set

Sellers in the United States are reporting that they are being blocked from selling on eBay because that have failed to provide PayPal with their tax ID. According to Ecommercebytes, under the terms of a new federal law stateside, online payment processors are required to provide the IRS (the US tax collecting authority) with 1099k reports. Apparently Amazon has been requiring similar information from merchants.

Curiously, eBay has been warning buyers who haven’t provided these details and also those sellers who are not required to pay tax related to their selling activity because they are too small. Quite understandably, sellers who have been blocked from selling are miffed. Several have noted that these sanctions should come from PayPal and not eBay.

This is distinct from the UK where historically eBay has resisted all attempts from HMRC to get access to eBay selling records.

You can read the full story, and the considerable background, on Ecommercebytes.

4 Responses

  1. There isn’t really a direct equivalent in the UK.

    But, it is equal to eBay demanding every VAT number and NI number from every seller and giving them to the HMRC, regardless of turnover. Or, indeed, whether you have ever sold anything for profit that the HMRC should know about.

    I think we have the right balance here for the time being, to be frank.




Free speech matters say Steiners as they sue eBay and ex employees


eBay US partners with UPS to offer new shipping options


More zero insertion fee listings for sellers on eBay.com from August


Six sacked eBay employees charged with cyberstalking blogger


eBay.com waive listing and selling fees on $100+ Sneakers

ChannelX Guide...

Featured in this article from the ChannelX Guide – companies that can help you grow and manage your business.


Take a look through a selection of the latest articles on ChannelX

Register for Newsletter

Receive 5 newsletters per week

Gain access to all research

Be notified of upcoming events and webinars