Proof Amazon Paid My Taxes to the IRS
The IRS is withholding a portion of my refund, claiming I didn't make any estimated tax payments. However, platforms like Amazon automatically withhold and pay taxes on our behalf. Can anyone advise where I can find documentation to prove this payment? I need it to demonstrate to the IRS that taxes were indeed paid. Let me add, that I did NOT receive a 1099 this year so I can't use that. Appreciate any guidance on this matter.
Proof Amazon Paid My Taxes to the IRS
The IRS is withholding a portion of my refund, claiming I didn't make any estimated tax payments. However, platforms like Amazon automatically withhold and pay taxes on our behalf. Can anyone advise where I can find documentation to prove this payment? I need it to demonstrate to the IRS that taxes were indeed paid. Let me add, that I did NOT receive a 1099 this year so I can't use that. Appreciate any guidance on this matter.
2 replies
Seller_hfmMmH8f6bDeQ
I think you may be confused about the type of taxes there are. Amazon collects state sales taxes from the buyer and remits them to individual states. They are sales taxes.
The IRS estimated tax payments are made by individuals 4 times a year. You have to pay them yourself to the IRS. You are estimating how much income tax you have to pay in a year and submitting a 4th of them quarterly. That way you do not have to come up with a lump sum when you file your income taxes unless you owe more income taxes than you estimated. Amazon does not pay them for you. I have never heard of Amazon or any other platform do this on our behalf.
Seller_Gd8HNmQJSr4l8
If the IRS knows you have a business, you need to be filing a Schedule C with your taxes. This lets IRS know how much you made and how much to tax you. You have to pay income tax on any of the profit you earned.
Amazon and other platforms only hold sales tax. It's still your responsibility to give to the government what you owe for Income tax.
Even if you don't get a 1099, you should be keeping records. If you ever do get a 1099 it's on the entire amount of sales processed, so the IRS will tax you on that full amount, unless you use schedule C and list all your deductions so they only charge you income tax on your profit and not your goods sold.
Probably should talk to a tax professional at this point, since clearly the IRS knows you have a business, and knows you are getting income from it.
