I'm thinking of creating an ad network like AdSense. What would I need to do for taxes, and would it be different for people outside of the USA?
Maybe this would help https://www.google.com/adsense/static/en_US/TaxInfo.html I am from out of the US and I need to declare that I am a Non-US Resident and also does not have a US business.
Thanks. It did help some. Has anyone here created one of these, and know what must be done? It would be greatly appreciated.
If your business is in the US, you typically do not need to collect sales tax. This can vary from state to state, so it would be best to contact your local tax agency / treasury office. For those conducting business outside of the US, various rules can apply. For example, in the UK, every payment made would be subject to VAT (Value Added Tax). Thus, a 100.00 payment would have 17.5% added to it as what is collected from the advertiser, $117.50 in total. -Bing
I'm in the US. Thanks. I don't think I'm going to do it, but if it doesn't require any tax stuff to be done for the members, I might give it a shot, even if it means only US members.
I think your best bet is to confirm this with an accountant. We are in Michigan and run a couple ad networks. We do not charge sales tax as the service is non-taxable. This includes payments from advertisers outside of the country as well. Again, I think your best bet is to consult a local accountant that is familiar with the tax laws of your state.