1099-k form for Canadian citizen/ resident

[twinkle7714]

Hi.

i have a US-registered Ebay & Paypal account which has a US address and SIN / TIN. I’m a Canadian citizen & resident though. In 2020, I exceeded the $20,000 USD threshold so I received notice from Paypal for a 1099-K form. Do I still have to file US income tax? I’ve already filed my Canadian income tax.

I filed a w-8ben with paypal us but they replied " Since your account was opened in the United States and contains a valid Social Security Number we are required to report your income to the IRS as required by law.  The 1099-K will not be zeroed out. 

Please note that a W-8BEN would only be applicable if you held a non-U.S. PayPal account and did not have a U.S. TIN. "

Is this true?

[recped]

Are you a dual citizen? If so until you revoke your US citizenship you are supposed to file a US tax return FOREVER and no matter were you reside or what other citizenship you might hold.

WBEN-8 forms are for non- US citizens who reside in countries that have a tax treaty with the US (includes Canada and many other countries). This would exempt you from withholding taxes.

When properly documented, dual citizens can avoid any double taxation.