Hello everyone, hopefully this is the right place to post this question. I earned about $200 from adsense last year. Am I supposed to report this on my taxes and if that is the case, is Google supposed to send me a W2, has anyone gotten theirs? How long does it take? Thanks
It's considered self-employment and you do have to report it. You won't get a W-2 but you will get a 1099 I think. I haven't gotten mine yet for this year. You may be alright with only 200 dollars since I believe the limit is 400 for having to report it. If you have earnings from other programs, though, you need to consider the sum. I end up filing a schedule C-EZ and a Schedule SE Note: The above is not legal or tax advice, but based upon experience, always consult with your accountant if you have questions, etc etc
Hey Adpubster, Thank you for the advice. I was facing the same question and did not know what to do if you only earned small amount (less than $500). mcdwgbiz, Good question.
$200 I would just report as misc income with no deductions. $500 You may need to do a schedule C ez to get the net below the $400 threshold where FICA taxes kick in. Here is last year's article on the subject: http://my-e-space.com/Webmaster-and-Taxes.html Don't think much of anything has changed.
Part 1. Any income is subject to tax Part 2. Only over $600 is required by law, they may choose to send one anyways. Be very careful how you report income. No one will probably do anything about $200... but as you grow if you try to claim expenses or operate as a business the Government will EXPECT you to pay FICA tax as well. And they know this by the type of paperwork you file.
U have to declare if u are a US/CA citizen. However, if u sign up and declare that you are outside of US and having no business in US. then u do not have to bother with it.