WebProNews reported last October that the IRS requested customer records from PayPal. The government agency is investigating some customers who may be using offshore credit cards to evade paying income taxes and illegally transferring money out of the country (http://digbig.com/4hcrn).

The Associated Press reported this week that a federal court in San Jose gave the IRS permission to ask PayPal for account information for American taxpayers who have bank accounts, credit cards or debit cards issued by financial institutions in more than 30 countries reputed to be tax havens. PayPal is evaluating its options, according to the article.

http://www.mercurynews.com/mld/mercurynews/news/breaking_news/14318214.htm