Do You Pay Taxes on Your Online Earnings?

[Kane]

Recently, I read in an online community that people in some countries are paying up to 25 percent of taxes if they are online workers. If that is true, I think that is insane. I pay taxes on my online earnings and it is usually 8 percent. Instead of using banks to receive money, if I use other services like western union and Pypal xoom, etc. I can avoid paying taxes.

 

[saoussen57651]

Let's explain a little. If someone spends one month to reach 10 $ from a PTP site and pays 2.50 $ to the government what is still daily pocket money? It could be reasonable for a job from a platform like guru or gun io or arc dev but not for someone posting on Bizdustry and similar websites.

 

[Riberet19]

Yes, I do pay since I have earnings from several online sites, as well as as a moderator, I trade, I do online surveys, I write articles and some other things, so it is inevitable not to pay taxes, here the self-employment rate is high.

 

[Grant]

If you live in the US, you're required to pay double taxes when it comes to being a freelance worker or working as a self employed contract worker. The reason why is that when you're paid for jobs, taxes are usually not taken out. So, you're responsible for paying the taxes on those payments later on when you have to file taxes. But, since you're also self employed or doing freelance work, you will be required to also pay business related taxes. I have to do this every year and I have to pay in every year for my taxes. So the best thing you can do, is save a portion of what you make for every job you do, so that you have money saved up for said taxes.

I don't know how it works in other countries, but in the US, any online work counts as self employed unless you're hired on to an actual job where they take taxes out every payment. Otherwise you'll be paying taxes yourself. This is what you have to consider when doing freelance/self employed work.