I have a paypal account and in 2014 I took donations from people online and gave one hundred percent ($13k) to CBAVC.org Cambodian Buddhism Association for Vulnerable Children, plus I paid the additional fees ($491). Paypal asked me to verify the legitimacy of the charity, I sent them paperwork from the charity, and told them we would be donating one hundred percent. They took the hold off of the account. I still had other income coming into this account, but the donations were clearly marked Donations by Paypal. I am currently on a 2 hour hold to ask them to remove these donations from the 1099-K, as the IRS is now asking for $12k+ in back taxes and fees! Do I have any other recourse? Thanks for any information.