Yes, Paypal is doing something wrong. Paypal is doing a lot wrong.
They do not verify with the account owner which transactions are income to report.
They choose the figures and just send them to the IRS, without ANY verification of those figures.
Basically, they are guessing at what needs to be submitted.
My 2020 1099 from Paypal is completely INCORRECT.
Not even one figure they submitted to the IRS is right.
This has been reported by Sellers on Paypal for years. Paypal just doesn't care if they do it right, and that is fraudulent behavior and subjects their account holders to serious IRS violations.
