Hi there, I'm beyond frustrated with Etsy. I'm from Mexico, and this year, the IRS (SAT) started collecting taxes from Etsy sellers. I opened my store before this policy began, with my account name as "John Doe" to match my bank account.
Now, the system (Mexico's version of the IRS) requires the name to match exactly the taxpayer ID (RFC), which is complicated since in our culture, names often include two first names and two last names. Etsy’s system couldn’t match my name in the tax database, so I had to update it to my full legal name. That wasn't an issue because I was working as usual and had no problems with only my short name used to withdraw the payouts from Etsy into my bank account...
Well...
And that’s where the nightmare started. I followed Etsy's instructions and attempted to change my name to my full legal name. I uploaded my passport for verification, only to have the photo rejected—and then they put my store on vacation mode! Two weeks have passed, and my account is still on hold, all because the bot can’t process my ID verification. The passport photo is clear, high-quality, unblurred, and complete with my full name and birthdate. It’s valid until 2025, so there’s absolutely no issue with the document itself.
I’ve also heard that the verification might not work unless my bank account name matches the legal name update. But now I can’t even update the name on my bank account because my store is stuck in vacation mode! I opened a ticket two weeks ago with no response. After nearly two weeks of silence, I started opening new tickets out of sheer frustration—none of them have been answered.
Etsy's system is beyond inefficient, and now I’m stuck in this bureaucratic nightmare: I get no response to update my legal name, and I can’t change the name on my bank account because the link is broken while my store stays locked in vacation mode. This is unacceptable, and Etsy needs to address this issue immediately.
I have 177 sales and a 4.6-star rating. I thought this company would be more ethical, but I'm realizing that's not the case.
Hello! We're sorry to hear you're experiencing issues with your shop. We've forwarded your concerns to a specialist team. Thank you!
Please know we handle support inquiries privately per our Community Policy – we’re closing this thread, so you can get the support you need from us directly.
Did you receive an email back from Etsy It would be a generic reply and you reply to that. Did you use email under Contact us? Any other email address is not valid.
For the email, did you use the section Taxes outside the US? If not try this and send another email with information on what is happening.
What Does Etsy Withhold and Remit to Mexican Tax Authorities? – Etsy Help
This is not Etsy's fault. The problem is countries changing tax laws and Etsy trying to keep up with them. It is not easy and far more complicated than most of us sellers know.
Hello! We're sorry to hear you're experiencing issues with your shop. We've forwarded your concerns to a specialist team. Thank you!
Please know we handle support inquiries privately per our Community Policy – we’re closing this thread, so you can get the support you need from us directly.