Paypal email re sending 3 years info to CRA by court order

[dutchman48]

Received in my email today. It was addressed to me personally, not blank.

Anyone else get this email?

Legit or not??

Notice to Business Customers and Partners.

We’re writing to notify you that we have received a Federal Court order requiring us to disclose information to the Canada Revenue Agency (CRA) about PayPal Business account holders who sent or received a payment between January 1, 2014, and November 10, 2017. To comply with the order, PayPal Canada will make a disclosure to the CRA within 45 days of the date of the order. If you have any questions about this email, please refer to our list of Frequently Asked Questions or contact us through our Help Centre. Thank you for being a PayPal customer. We’re committed to helping your business get the best online and mobile commerce solutions so you can grow your business and compete in today’s digital economy. PayPal Canada Was this email helpful? Please click here to let us know how we're doing at keeping you informed.

[hlmacdon]

Legit, they are emailing all business account holders. It's not specific to any one person.

[ricarmic]

Yep I got it too....I thought they were regularly sending it anyway....

[hlmacdon]

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@ricarmic wrote:
Yep I got it too....I thought they were regularly sending it anyway....

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That was my assumption as well. The saving grace of having a marketplace tied to one form of payment is it makes these things much simpler.

[westernstargifts]

I received one too.  Just finished reading it.

[backstro_1]

https://www.paypal.com/ca/selfhelp/article/cra-information-request-faq3755

This is link provides additional information on what will be provided to the CRA

[cumos55]

Does not eBay already send  sales information to CRA?.. 

That is ....... if sales are more than $20,000 each year.... This is sales only.... sales on eBay.

The Paypal number is sales plus postage....  This number is critical for registering to charge GST/HST.

Paypal must report sales plus postage  for all sellers...  There is no specific cutoff  value.... It is all sales plus postage from $1.00 and up...

A seller must register with CRA    and collect GST/HST if the total for sales plus postage is more than $30,000

It could be that many have registered ... with sales less than $30,000   in order to use the GST/HST charged on eBay fees  as an Input Tax Credit

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This could be a response to the fact that eBay Canada is a newly defined reality ... totally separate from eBay.com

and then the charging of GST/HST/QST  on eBay fees.

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As sellers on eBay we must all follow the rules as presented by CRA.....

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In the US  it is  Paypal that reports the total to IRS if the total is more than $20,000 ..... sales plus postage.

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The total is sales plus postage  because a buyer pays a seller...... one number  on an invoice....  It is sales plus postage.

It is the seller's responsibility to select and pay postage as a business deduction.

[pierrelebel]

"Does not eBay already send  sales information to CRA?.. "

Yes, following a court case twelve years ago,  eBay provides information to CRA (actual details unknown) based on Canadian sellers activities on eBay (all sites)

PayPal is no longer part of eBay.

PayPal also covers a lot more than eBay transactions for many sellers.  It makes sense that CRA finally went after PayPal for information on Canadian users.  In fact I am surprised it had not been done earlier.

Folks who have been conducting business on eBay and/or through PayPal have nothing to worry about if they filed their income tax return properly.

The whole purpose here is for CRA to catch cheaters.

[lawrencewrightphoto]

hi i got one today,,,,,

but some of the links on the email are odd.

ie. 

Frequently Asked Questions or contact us through our Help Centre.

plus 

preference center

safelinks include this in the link... 

.paypal.mkt2944.com 

lucky for me its been blocked by Microsoft 

thanks

lawrence

[tobyshitzu]

"

Paypal must report sales plus postage  for all sellers...  There is no specific cutoff  value.... It is all sales plus postage from $1.00 and up..."

All sellers who upgraded to a business account.  Which is curious becuase effectively the only difference with a premium account is the business account can take payments without the sender having a paypal account

[fatdane]

If you are "lucky" enough to be selected for a CRA audit the auditor will show up with all the ebay and paypal information re payments on his computer. If the auditor sees that you have reported things as you should have you will have no problem. If you have tried to "hide" electronic payments you may have a bit of trouble. In an electronic world it is just plain dumb not to report any electronic form of payment.