Paypal and Taxes

So after a while of searching, I realize that I have to report the income I earned through paypal as well because the IRS is cracking down all the evaders

I earned money on paypal through Supporting this website paypal donation and selling advertising space. So I was wondering how do I report the transaction?

Do I just print out the RECEIVED and the EXPENSED provide by paypal and give it to my tax guy?

 

That would be a splendid idea.

 

I think that would be an excellent idea. PayPal already gives the income information needed, so yes, just print it out. That is what I would do.

 

I just go
My Account - Account Activity - Payment Received and printed all the income earned out
same with Payment Sent

Hope it will do the trick -_-

 

You didn't earn income from PayPal. You earned money from advertisers and Paypal is just your payment gateway. List the gross income (via paypal) on your income tax form and list your PayPal fees under business expenses.

 

I still have to print out the PAYMENT RECEIVED anyway right? I have a tax person so he will probably add them up together and put it in my gross income and the fee as business expense.