Text Link Ads & Taxes

Discussion in 'Legal Issues' started by Going Green, Jul 31, 2009.

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  1. #1
    I was wondering.

    Do website owners in the USA have to declaire the payments they receive for showing text link ads on their sites and pay taxes?

    If so and you are an individual without an business licence how do you go about doing so? At the end of the year as "other income" on your tax form or....?

    Thanks

    (no paid ads on my sites)
     
    Going Green, Jul 31, 2009 IP
  2. mjewel

    mjewel Prominent Member

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    #2

    You have to report all income you receive.

    Use Form 1040, Schedule C, Profit or Loss from Business, or Form
    1040, Schedule C-EZ.

    You also need to file 1040 Schedule SE and pay self-employment tax if the total net is over $400.
     
    mjewel, Aug 1, 2009 IP
  3. Taxplanr

    Taxplanr Peon

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    #3
    I agree with mjewel. Schedule C can be a means to purchase benefits on a pre-tax basis and to hopefully lower SE taxes.
     
    Taxplanr, Aug 2, 2009 IP