Do you intend to declare your income from myLot or any other internet earnings..

So in your opinion it's ok to cheat on your taxes as long as you think you can get away with it?

I don't think it's cheating...if you had a garage sale to get rid of unwanted stuff...would you declare that as income? If you sold a used car etc? If we allow them the IRS will find ways to tax every single penny we gain..and in the end we will have gained nothing.

There are laws in most countries about those things. If you sell used stuff you don't have to declare it. If your main income came from selling used stuff though, it would be considered your job and you should pay taxes on it. Selling a used car is the same (at least in every country I now), you don't pay taxes on that. You already paid for the car and when you sell it the price has usually decreased rapidly so your'e not making a profit on it. If however you bought a used car, fixed it up and sold it with a profit, in some countries you might have to declare that as income and pay taxes on it. Yes, when I sell or buy a car I have to put that on my tax return but I don't pay taxes on it as long as it's not how I make a living. They will consider it a job if the same people repeatedly show that they have bought 5 or more cars every year and sold them with a profit. That rule is different in every country though.

he he, I'll charge you big for that one.

Great! I was worried that I would only get "heck no" responses to this one.

You never know lol. But even though you don't pay taxes, you should still declare it.

Great! I hope you have to pay a lot of taxes on your myLot earnings because paying taxes means that you make a lot of money!

I would have thought you had to declare any earnings but a certain amount would be exempt from tax. I don't know much about Canadian tax laws though so maybe your'e right.

then I guess it is not legally required that I report the income, if mylot does not have to report paying it to me

In my opinion all incom should be declared but it varies between countries where on the tax return it would go.

MyLot won't be sending any 1099's as they dont have your address or social security number :).

Where are you from? Maybe you could give advice to people on here as many of them don't even know if they should declare this income.

I see in you profile that you are from the US. Is it right that people who make small amounts on the internet or by other means ($400 or 600 like two examples above) don't need to declare it at all? I never heard of any type of income except for presents that you don't need to declare.

Maybe you can help me out with a tax question. I have recently moved to Ireland and would like to get a job here. Do I need to pay taxes in America if I am an Irish citizen and paying Irish taxes already?

That must be the highest tax rate I have heard of if you only keep $.75 of you $5 lol. Like I said above, I'm not talking about the people who are making pennies on here but people who are actually making a living or a second income from online jobs. What has the government stolen from you and how can they do that if you don't pay taxes? Who paid for your school and the social services in your country?

Is that a total of $600 from all internet generated income or your total income over the year? Does it matter where the income comes from weather you have to pay taxes or not?

Is that a total of $600 from all internet generated income or your total income over the year? Does it matter where the income comes from weather you have to pay taxes or not?

Wow, where do you live? Everyone over the age of 16 has to file a tax return in Iceland, even if they don't have any income

MyLot doesn't have your home address but it is interesting to see how many people think that as long as they can get away with not declaring the income, it should be alright. It sounds like in some countries you don't have to file a return unless you make over a certain amount. I don't know how that system works.

If you are filing taxes in a new country for the first time I would advice you to get assistance from a professional to make sure you understand everything. What country is that?

Definitely get advise from an accountant for the first tax return you file there.

i am in germany.

Income is income and in most countries at least, it's your total income that is taxable, not what you make in each place. Like I have said in other comments, I was more referrng this question to people who get most of their annual incom on myLot and similar sites, i.e. online work. Some people are making quite a lot of money that way and it's only fair that they pay their taxes like everyone else. Selling your used items on ebay is normally not taxable, since in most cases you are selling used items at a lower price than you bought them for. If you are selling unused products that you buy with the only purpose of selling them on ebay to make a profit, yes, then it is a business and you should pay taxes on it.

The way I look at it is if the IRS doesn't think it is income and it cannot be tracked to my SSN, I am not going to claim it. For state taxes in my state you have to make a certian amount per year online and in certian ways online to have to claim it and they only worry about sales tax not service rendered (since this can be a service so I don't have to pay sales tax which is what they are looking for). I am not paying taxes on anything I don't have to.

If you get the money into your account, it is earned and should be declared. Weather they charge you taxes on is another matter.

Very understandable that you don't want to pay taxes if you don't have to. The tax laws are obviously a lot more complicated in the US now than when I lived there (that was before I even knew the internet existed).

It sounds to me like Iceland has some great tax laws. I think we could use some of their knowledge. We sure need to make some changes in ours, especially the one about "everyone" filing from age 16 on, whether they have earnings or not. I really like that idea, whether anyone else does or not. And it's not that hard to fill out our 1040EZ form anyway.

It depends on where you live weather you get taxed on winnings or not. In Iceland only winnings under a certain amount or from approved charities are excempt from tax. Where do you live? Is the income from myLot the only income you have? In Iceland everyone over the age of 16 has to file a tax return, even if they don't make any money at all. The tax return or the outcome of it are then used to calculate weather they qualify for different kinds of benefits, deductions, how much they get in child benefits etc.

Well, you only get paid after you have made at least $10 :). Would be interesting to know if it's the amount people make that makes them decide or if it's the thought "If the IRS doesn't know about it, I'm not declaring it" thought. I understand that in many countries income like this doesn't have to be declared unless it goes over a certain limit. In some countries you should still put it somewhere on your return.

Oh and $4 is a little over 2 pounds :) That doubles the income you thought you had in pounds :)

There is no such thing as a hobby category when it comes to paying taxes in Iceland. Hopefully you'll make enough to take you out of that category.

Probably true in many countries but in Iceland it wouldn't be tax deductabe unless most or all of your income was made on the internet. It wouldn't matter in my case as my business already pays for my connection but individuals can't claim cost against earnings like this.

I should also add that for those of us that do have to declare it, it would also make your internet connection a tax deduction...

Yes, very true. Each contry has it's own rules. Mr. Taxman in Iceland wants a piece of all money earned, no matter where it comes from.

I agree that if anyone is in doubt, they should ask a professional.

That is in the United States. Everyone who has a tax question should probably ask a professional in their own country.

What a lot of people here in the USA don't understand is that they should fill out the proper tax form no matter how low their income is. In all probability, they're due a tax refund if their income is low. They're missing out by not declaring the income and getting a refund that is due them.

I don't know much about Canadian tax laws. It surprises me that people don't have to declare all income, even though they dont' pay taxes on it.