Taxes on Payments

[shivan128]

Thanks for the tip, never knew about this!!

[Administrator]

If you attempt a cashout that will put you over $600 for the calendar year, the system will stop you and require that you complete an online Form W-9.  You have to provide your mailing address, SSN or EIN, and a couple other details, and then you can cashout.

Since your membership is not employment but rather INDEPENDENT CONTRACTING we issue payment for the full amount of your earnings; the tax liabilities are yours.

I am not a lawyer or accountant and this is not tax advice, but generally the IRS requires that you report ALL income from ALL sources: $20 at a garage sale, $25 from FC -- it's all "cash in the door" to the IRS and should be reported.

You MUST speak with an accountant who can look at your individual situation and give you the proper advice; there are many variables at play.  If you choose to take advice from an internet forum, be prepared for potential negative consequences in the future!

[ajami]

Thank you adminstration, that is best advice I have heard since joining, I cannot agree more.

[lennydee]

Not trying to make that kind of money, it's bad enough that we have to pay taxes on regular paycheck. You can't save or make a dime without some agency with their hands in your pocket

[pvs_19857]

Thanks for clarifications admin. I agree with you and all this income is taxable.

[Screwedupclick4life337]

Good answer I like what the administrator said

[cdjoergy]

That was very good information to know.  Now when I go to do my taxes, I will know what to declare!

[maverick12]

It doesn`t matter whether you earn $6 or $600 during the year. You are suposed to report all earnings to the IRS. Whether you do or not is between you and your conscience 

The $600 threshold applies to whether the payer has to report the payment to them and issue you a 1099.

[debidoo]

  I'm still hoping and praying for the day that the internal revenue is shut down lol they are a trip and no where anyone wants to go lol.  I think its a big scam but then who am I?  A little fish in a big ocean lol. 

[sherrienicole]

Taxes are so funny! we basicly have to pay to breath!