Amazon Payments

Discussion in 'General Discussion | Miles/Points' started by Efilon87, Jan 9, 2012.  |  Print Topic

  1. Efilon87

    Efilon87 Silver Member

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    I logged on to my Amazon Payments account today and to my surprise they needed my tax info (Social and other info) for me to continue to use AP. I guess its going to be a little more difficult to get money off of Visa gift cards and into my bank account. Too bad AP wised up. Any other suggestions for websites (preferably those without a 2% charge or anything like that)? Thanks!
     
  2. icurhere2
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    icurhere2 Gold Member

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    The Amazon Payments requirement of a SSN is proactively based upon a federal requirement of reporting more than 200 transactions or $20,000 per year (Amazon collects for all, as they do not know who will exceed those thresholds). As a result, it is very likely that other legitimate processors would adopt the same requirement.

    The full regulation is available here.
     
  3. FlyingBear
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    FlyingBear Silver Member

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    I just signed up for AP a week ago and it was already asking me for SSN
     
  4. viguera
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    viguera Gold Member

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    I've been a member since last summer and it just asked me a couple of days ago, so I think they are indeed being proactive for 2012.
     
  5. infamousdx

    infamousdx Silver Member

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    They may or may not send us the 1099 (INT?) forms for 2012, but now with our SSN's, it's surely a clear option. I, for one, have shut down my monthly AP churning conga line with my 5 other friends. It was good while it lasted though!
     
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  6. Jenny & Curt
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    Jenny & Curt Gold Member

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    Do you have a cable or telephone bill you can log into and make one-time payments? That's how I dispose of prepaid rebate cards and the like without fear of forgetting to spend the full amount on them. Another thing you can do is purchase Free-after-rebates products, like things at Staples.
     
  7. FlyingBear
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    FlyingBear Silver Member

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    Since I have not been doing anything with Amazon Payments, what is the exact concern here? That the incoming transfers will be counted as income? If so, does PayPal do anything of the sort?
     
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  8. deant
    Original Member

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    I think that Amazon is just prepared IN CASE someone goes over the 200 transactions AND $20K. At the first of the year they don't know what activity anyone will have so they need to be proactive. Just think if they waited until someone reached the reporting threshold and then the person would not give the information when requested.
     
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  9. xp0
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    xp0 Silver Member

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    And not saying this in a negative way ... But this is nothing new and has been discussed for weeks already.
     
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  10. BackSlash

    BackSlash Silver Member

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    I'm certainly not a US tax expert, but if the money coming in via Amazon payments were considered an income generating activity, wouldn't the expense of buying the prepaid cards be an expense equivalent to the "income" thereby wiping out any tax liability? I mean, if it's considered running a business, then it's running at a loss.
     
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  11. deant
    Original Member

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    The problem is documenting the expense and having the proper license etc.
     
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  12. Jenny & Curt
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    Jenny & Curt Gold Member

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    FWIW, we just got revised terms for our US Airways Mastercard, and they said part of the revision in terms was that several things would now be considered "cash equivalents," and therefore the purchase of them would be treated as a cash advance. The list included, among other things, lottery tickets, casino chips, money orders, travelers checks and "person-to-person money transfers -- including but not limited to transfers facilitated over the internet" and I have to wonder if Amazon Payments and even PayPal are in their sights?
     
  13. deant
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    How would they know if the payment was for actual services or a "person to person" transfer? If they lump everything together then they will alienate many companies and people.
     
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  14. joesmoe
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    joesmoe Gold Member

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    Use the search feature please. This has been discussed thoroughly weeks ago.
     
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  15. FlyingBear
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    FlyingBear Silver Member

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    I'll have to call this a low value post. Are you talking to OP? Addressing the last question? Some other question? Having the 14th post in, 10 days after OP, having a link to one of the discussions or at least a bit more clear topic of your response would be more helpful.
     
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  16. mrx900
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    mrx900 Silver Member

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    I called them and told them it was a purchase from amazon and they 'recategorized' it .......
     
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  17. DTWBOB

    DTWBOB Silver Member

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    Thanks for providing the link to the CFR material. IRS has a somewhat plainer English explanation on their site, but in my case this is a document I badly need.

    In one sentence, anyone who receives more than 20,000 from anything like Paypal, credit card companies or in this case, Amazon payments, will receive a 1099k form on which the money you received will be reported to IRS (just like all of the other 1099's !).

    I think IRS is concerned that some people/ companies are not reporting this income on their tax returns.

    DTWBOB
     
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  18. deant
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    The actual requirement, as has been said before, is not just the $20,000 in payments but $20,000 AND 200 transactions.
     
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  19. schnitzel
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    schnitzel Gold Member

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    Anyone had issues with Chase by using Amazon Payments? I need to hit a $5K threshold on my wife's Ink Bold card, and I may not make it without some AP juice. I know it's not like the Mint days, but I thought I'd check.
     
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  20. deant
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    Should have no issues. As always, just don't send it back and forth.
     
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  21. schnitzel
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    schnitzel Gold Member

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    Ouch. That's what I've been doing for months! I sent it to my wife, and withdraw. A few weeks later she sends to me, and I withdraw. Asking for problems?
     
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  22. deant
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    I had one (actually 2) accounts that was frozen when I sent it back and forth. Probably did not wait long enough. What I typically do is have 3 email accounts and "round robin" the payments so I never have a "back and forth".
     
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  23. schnitzel
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    schnitzel Gold Member

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    Seems wise. Plus, you get another $1k/month that way. Maybe I need to enroll my kids . . .
     
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  24. Jeffrey

    Jeffrey Silver Member

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    I'm assuming - and this seems like a good place to verify - that you would *not* get credit for amazon payments going through the Hawaiian Airlines shopping portal. Is that accurate?
     
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  25. schnitzel
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    schnitzel Gold Member

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    I like your thinking there, but I really doubt it. Amazon seems to consider this a separate account.

    But I did find a way to link there, so it's worth a shot: go to Your Account and it's under Your Other Accounts.

    Can't hurt to try.
     
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