Hello there again, I'm just wondering, those of you who live in Europe or other contries and are earning high in adsense (over 1K/month at least), do you have to pay taxes? How do you handle it..?
Do you just put your checks into your bank account and have no problems with it..? Is it legal? LOL that's funny I made alittle typo and everything seems another way now Any moderator here, could you fix it to tAxes question?
@aeiouy, i thought the same thing, that the post was about texas, so i had to read it. i better get new glasses.
I don't -- that's what accountants are for. I'm suprised to read all these comments from people saying that they don't have to pay taxes on adsense income -- why ? as far as I'm aware, income is normally taxable regardless of where it comes from.
It depends on what kind of taxes. In Canada it's still income, so you have to pay income tax. Provincial taxes 8%, that's mostly on real property items - so I have to pay or collect that if I sell computers or software. But if I make a web site no provincial tax. And nothing for income made outside Canada. Canadian GST 7% is collectable on all non-food items, so If a build a web site, I have to collect and pay that, but it's not collectable on any money I make outside the country. So it's added to my net income, and I will pay taxes on that - around 40% I'm surprised any country would not collect something on it.
It's a graduated scale, of course. If you're already working full-time (which most AdSense publishers are) then if your income is enough to push you into the top bracket then anything above that level gets taxed at the highest level. It varies by province, because the provinces add their own taxes to what the federal government takes, but 40% is a good average. For the highest income brackets ($70K+, the topmost bracket actually start at $115K or so).
Hey Eric! Thanks for posting here, I'm sure you can clarify it out for me. The question is simple: assumming you live in Europe, or somewhere else outside the US, and the payments are not too high, but still enough to get paid every month, you get your adsense payment every month and what do you do with it? Do you just put it into your bank account? Do you have to notify the appropriate tax authorities about it and pay all the taxes on it? What is the law about it and what are the common way in which people usually handle the matter? Thanks, Michael
You could always open a Swiss bank account and collect your earnings there. For me if it is not too high I just won't report it. A tax audit is very unlikely here in Belgium. When it gets to more than 1k+ a month I'll start reporting. 8) And if you think 40% is robbery .. In Belgium the highest tax bracket is 50% !! Then again evading taxes is our national sport 8)
Like I say in my book, it's important to get tax advice from a tax professional in your jursidiction. As far as I know, any country that taxes income will want you to declare your AdSense income. Don't forget that Google is required by law to report the payments it makes to the IRS, and who knows if the IRS eventually ends up sharing that information with other tax agencies worldwide? Talk to a pro in your country and get the best advice for your own situation. That's all I can offer!
Looks like many of you went to the same tax school as Ken Dodd (hid the money in a sofa). My guess is that in the UK you'll have to pay it as income tax.
You're repeating what he said-- he already said 40% tax. tax == robbery -- Derek P.S. 40% is nothing. When you start to look at all the taxes I pay here in NY State, I easily pay more than 50% of my income in taxes.
US States? All of them have some form of taxes. A handful don't have income tax though. Florida, New Hampshire and Alaska are the one that come to mind for me. I think there is at least one more.
Bush was happy that Texas didn't have any... I think Alaska pays people to live there still, don't they? -- Derek
You need to get a new accountant then. If you're running this as a business, then there is so much that is deductable that you should never be paying that level of tax. It's all about keeping money in your pocket rather than in the governments bank accounts, and money spent on a good accountant is money well spent - even my acountants fees are deductable. Never try to avoid paying taxes due on income - unless you like the taste of porridge. I've never yet had to go through an IRS audit, but I know people who have. It's not a pleasant experience, even when you know/believe you're clean.