Do you pay tax on online earnings?

Well, I have mixed emotions about paying taxes for these type of jobs. Well, for Mylot's purposes, we won't until or unless they ask for everyone's social security number. Which they haven't. I don't know what they do-they pay an awful lot of money out daily, I cannot imagine what they pay out annually. My only concern is that we get slammed with 1099 next year, and for those that do well, may end paying quite a bit back in taxes. At the rate I am going, I will only earn about 200 for the entire year, which is considered a hobbie and is exempt from taxes. I bet if we were all considered self employed on here and we had the knowledge that we would have to pay taxes, everyone would leave. (Just my own opinion) I have a job that I am considered personally employed and I have to pay my taxes when I do my taxes. My tax consultant told me it is roughly 16%, but that could be just my state? Of California, and I surely don't know what other country's do, if they even pay taxes on their wages.

I don't know. But your question reminded me of something. I once won a trip and I was so excited. After the trip (keep in mind I was 19 and green) I realized the IRS counted the trip as income. After that, I only enter for contests less than $600. If it is less than $600 you don't have to pay taxes on it. Oh, except for if I entered for one million dollars. Then, I could afford to pay the tax!