[Archive]

Posted By: Tim Sanders

Depending on the exact set up of paypals interest bearing account (I never have enough money in paypal to bother)you would get either a 1099INT (Bank sponsored) or a 1099Div (Most Money Markets)if you earned more than $10 in dividend or interest income. For the record the lack of a 1099 form does not remove the liability of paying tax on the income earned, it just means the payer (paypal in this case) is not responsible for reporting the payments to the IRS. Finally 12+ years in financial Services has a practical application (besides earning a paycheck!)