1142 posts It's in the pipeline!
  • Top Monthly Author
  • Trendsetter
  • Weekly Top Seller
  • Author Level 11
+9 more
purethemes
says

Hi!

I just wonder how do you pay taxes (if you have to ;) ) in your country for money you earned at envato marketplaces? Cause I have big problem with that in Poland, it’s my first month when I earned a lot of money, and when it will be send to my bank account, I will have to pay 19% tax (I still need to check it), but tax regulation in my country are quite complicated, and if my earnings will be steady (which I’m plannig to achieve) I’ll need to register my own small business to be legal.

So I’m just curious how deal you with that?

5467 posts The Dude Abides
  • Top Monthly Author
  • Trendsetter
  • Weekly Top Seller
  • United States
+13 more
CodingJack
says

My guess is just treat it like you would any other source of income and deduct the crap out of it :D

372 posts
  • 6 Years of Membership
  • Author Level 3
  • Collector Level 2
  • Exclusive Author
+2 more
mrjasmin
says

Taxes ? Never heard that word :D

537 posts
  • 7 Years of Membership
  • Affiliate Level 3
  • Author Level 6
  • Blog Interview
+9 more
Hein
says
Hi!

I just wonder how do you pay taxes (if you have to ;) ) in your country for money you earned at envato marketplaces? Cause I have big problem with that in Poland, it’s my first month when I earned a lot of money, and when it will be send to my bank account, I will have to pay 19% tax (I still need to check it), but tax regulation in my country are quite complicated, and if my earnings will be steady (which I’m plannig to achieve) I’ll need to register my own small business to be legal.

So I’m just curious how deal you with that?

When you don’t have a business registered, then you won’t have to pay the 19% to the tax collectors.

This is only for businesses and freelancers who are registered at the chamber of commerce. Only thing you need to do is pay the income taxes over your earnings ;)

That’s the way it’s in the Netherlands, but best thing to do this hire an accountant, they know all this stuff way better. I drop all my invoices and receits at my accountants office every 3 months.

922 posts
  • Top Monthly Author
  • Weekly Top Seller
  • Power Elite Author
  • Author Level 12
+15 more
MDNW
says

Your best bet is to find a certified tax expert in your country to answer the question (I’m guessing no one here on the forums is a Polish tax expert). Tax evasion certainly isn’t a funny matter if you have the equivalent of the U.S. Internal Revenue Service knocking on your door – it can quite literally ruin your life if you don’t take the important (and usually simple) measure to find answers, document your income, and pay the appropriate taxes to your country.

Regardless of philosophical, ethical, or whatever point of view you wish to express about the morality or legality of taxation in your country, the law in most countries is that all income is taxable, and they’ll get it from you one way or the other.

Sorry to be so serious – I’d just hate for any authors here to get themselves in trouble over income made from the site. I’ve been running my own business for several years now so I know the ropes in my state/country – but I can see a number of people getting themselves in trouble over successful sales if they don’t know or care enough to handle the proper taxation processes.

In most cases a simple phone call and meeting with a local accountant will save your years of heartache and tax debt. Do it, thank me later.

:)

2337 posts
  • Affiliate Level 5
  • Author Level 6
  • Collector Level 2
  • Trendsetter
+7 more
CreativeMilk
says

If you dont want to pay taxes, use the paypal account to buy stuff ;)

922 posts
  • Top Monthly Author
  • Weekly Top Seller
  • Power Elite Author
  • Author Level 12
+15 more
MDNW
says
If you dont want to pay taxes, use the paypal account to buy stuff ;)

Not to be rude, but this probably isn’t a wise decision. Most financial networks are linked together – unless you’re registered with Paypal under a fictious name, bank account, social security # and all other ficticious information (which is against all policy rules on Paypal and is against the law in most countries), your income will be tagged to your personal identity. You might slip under the radar temporarily, but it’s no long term strategy. Check with an actual expert on the taxes – get an official answer rather than risking being charged with tax evasion.

And seriously – no offense or anything negative is intended in this rebuttal. I’m sure this is intended comically, but it’s just too easy for someone to misread this as a surefire way of getting out of paying taxes. I’m just trying to keep anyone making good money off of this site protected.

The fact is that in most countries and most jobs, employers pay your taxes for you by stripping them from your paycheck each month or some other means – when you’re making money directly from a customer or site like this, you are the one that’s responsible for managing your finances.

1142 posts It's in the pipeline!
  • Top Monthly Author
  • Trendsetter
  • Weekly Top Seller
  • Author Level 11
+9 more
purethemes
says

paypal is somehow monitored ;) if the amount of send or received money is more than 1000 Euro than Revenue Office will know about it.

The problem in my case is that there’s no clear law or rules how to deal with that, and even certified tax expert have many diffrent interpretation, even if you ask in Revenue Office every civil servant says something diffrenet. So the safest way is to pay normal tax and treat it as an normal income, but if it’s regular income you have to register business, and I will probably do that, for my own safe ;)

1680 posts Chris Robinson
  • Elite Author
  • Author Level 10
  • 7 Years of Membership
  • United States
+13 more
contempoinc
says

I’ve looked into this and as far as I know for us in the states anything run through PayPal isn’t reported to the IRS , but this is supposed to change in 2011 where they’ll report after your earnings have exceeded $20,000 or you have more than 200 transactions in a year.

1142 posts It's in the pipeline!
  • Top Monthly Author
  • Trendsetter
  • Weekly Top Seller
  • Author Level 11
+9 more
purethemes
says
In most cases a simple phone call and meeting with a local accountant will save your years of heartache and tax debt. Do it, thank me later.

:)

I wasn’t really complaining that I need to pay tax ;) I know I have to and I will, I was just curious how it’s working in other countries, that’s why I’ve started thread, but thanks for your answer, and your advice :)

by
by
by
by
by
by