To US citizens: Can you declare Paypal expenses as an individual?

Yo guys.

So my question is for US citizens.
Can you declare Paypal payments sent to people with Paypal accs as an expense as an individual in your tax statement?
Same with your internet access fees, can you declare these as expenses while only paying taxes as an individual.

Hope to hear your experience,
Steve

 

it is hard to say because i come from china

 

I don't think you can... At least I never tried it.

 

So guys, you all have businesses set up for your online activity?
Just for buying, selling websites and affiliate revenue?

 

PayPal fees are a cost of doing business so yes you should be able to declare them as an expense. You should however always consult your accountant.

In terms of internet access, my accountant has told me that I can expense a portion of it because I also use it for personal activities a long with professional. So if you use your internet access for 80% professional and 20% personal, you can expense 80% of it. Again, consult your accountant.

Hope that helps.

 

Hi jliu,

Thanks for your answer.
So you have a business set up for your online biz?
Is it hard, costly to set one up?
Because if it's not hard it looks like the way to go...


Steve

 

any legitamate expense can be taken off your taxes? ofcourse talk to you accountant or who ever does your taxes.

 

Yes you can count this as part of tax.
And online biz is also including when you filed a tax.
Its easy to do online biz such as marketing firm and dropshiper biz

 

Yes, talk to an accountant or a tax expert on this matter. They'll be able to answer this surely.

 

So any of you have set up a business for your online activity?

 

I have. I think it cost $10 to set up my DBA.