I do Amazon product review in exchange for a full refund to Paypal but I get to keep the sample of the product. However I received a 1099k from PayPal due to PayPal sees those refund as a “business transactions”. In reality, I’m not gaining any money or income. I don’t really have any profitable gains beside the sample product that I get to use and place a review. In addition, most of the products I receive, I’m not obligate to place a review. Now my question is , do I still have to file that 1099k form or can I ignore it ? If I file it , do I have to pay tax on my refunds? Or is there a way to file it without paying any tax on it due to the fact that it is not income/ gain .
