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Is income from Paypal Taxable

Discussion in 'PayPal' started by bhanu9192, Oct 20, 2009.

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  1. #1
    Hi All,
    I am a freelancer from India. I earn about 500$ every month and I want to know weather I need to pay tax for the same. I heard somewhere in this forum stating that "If your income is less than $25000k per year You need not pay any tax. Is that true".
    Please give me a right suggestion
     
    bhanu9192, Oct 20, 2009 IP
  2. chandan123

    chandan123 Prominent Member

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    #2
    yes its taxable. when u withdraw money to bank u will be notifying to bank right :p

    $25000k :confused:

    its few lakhs Rs per year lol :(
     
    chandan123, Oct 20, 2009 IP
  3. bhanu9192

    bhanu9192 Peon

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    #3
    Please refer to this link http://forums.digitalpoint.com/showthread.php?t=250498
    I earned at least 5 lakh this year. I want to know weather I need to pay tax or not.
     
    bhanu9192, Oct 20, 2009 IP
  4. Digital_shubhi

    Digital_shubhi Illustrious Member

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    #4
    Well, if your income is more than $3500.

    So, if your's is more than $25000k, you need to pay tax and that too a lot of. :p

    - Digital -
     
    Digital_shubhi, Oct 20, 2009 IP
  5. bhanu9192

    bhanu9192 Peon

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    #5
    So. You mean to say no tax payment required for me now?
     
    bhanu9192, Oct 20, 2009 IP
  6. jestep

    jestep Prominent Member

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    #6
    Paypal does not give you income, it is only a mechanism for transferring money from one company/person to another.

    The income you receive from that buyer is taxable.
     
    jestep, Oct 20, 2009 IP
    Xaver likes this.
  7. Dhaval1983

    Dhaval1983 Peon

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    #7
    I am not sure abuot the exact figure but above certain withdrawal it is taxable.
     
    Dhaval1983, Oct 20, 2009 IP
  8. humm

    humm बहादुर बच्चा

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    #8
    Do you only earn from paypal? No other cash deposits or assets in your bank records?

    You 100% taxable just like any other normal cash and cheque deposit into your bank account.

    IT Departments is not concerned from where the cheque is coming, the fact is that it comes into your bank account which should have a PAN (??) and hence taxable too.

    500$ a month = 6000$/yr = 2.4lacs

    ** Please confirm with your CA.
     
    humm, Oct 20, 2009 IP
  9. deluxdon

    deluxdon Catch Me If You Can...!!!™ Staff

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    #9
    I am thinking the same way and paying tax as well.

    But see what getjimmy said on this :rolleyes:

    http://forums.digitalpoint.com/showpost.php?p=12707107&postcount=24

    Full discussion -> http://forums.digitalpoint.com/showthread.php?t=1534838

    So confusion :confused:

    DON.
     
    deluxdon, Oct 20, 2009 IP
  10. humm

    humm बहादुर बच्चा

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    #10
    I don't agree such such tactics and steps. Moreover if you consult a proper CA he would too advice to advice to go the proper way. Any wrong done today will affect your file/returns tomo.
     
    humm, Oct 21, 2009 IP
  11. deluxdon

    deluxdon Catch Me If You Can...!!!™ Staff

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    #11
    For the same reason i am filing my IT returns and paying tax regularly.

    DON.
     
    deluxdon, Oct 21, 2009 IP
  12. humm

    humm बहादुर बच्चा

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    #12
    Absolutely its more important have a strong file rather having a file full of doubts n queries. :D
     
    humm, Oct 21, 2009 IP