How does tax work when you are Internet Marketeer?

[Mark_w]

I'm in the process of starting up a website to sell an ebook I've written. I tried to search the forums for threads about paying tax, but I think because the word is too short it wasn't working.

Anyway, I am a UK citizen but am travelling around the world doing this all on my laptop. I'm pretty sure if you are out of the UK for more than 80% of the year, then you don't have to pay tax in the UK.

I'm really confused though as to where I should pay my tax? Does anyone know the rules on this?

[HeySal]

Good question for a tax accountant. I wouldn't trust forum advice on a matter this central to the legality your business functioning.

[Frank Donovan]

Hi Mark

One reason why you don't find many threads about tax, is because they often get deleted.

The problem is that well-meaning folks offer their unprofessional opinions which could possibly lead to other marketers getting into legal trouble.

Tax laws are going to vary depending on your circumstances and area of jurisdiction.

The ONLY advice you should listen to is that from a qualified tax accountant - not from forum posters.

HTH


Frank

[Patrician]

As for the US we do have a website with extensive information and forms directly from the internal revenue service.

I just don't think you would have to pay taxes here, unless you live here and are a citizen - but as they say, don't rely on peanut gallery logic when it comes to a question of legality.

(still seems to me you may be tax liability free if the UK doesn't require you, their subject, to pay, if you are not domiciled there...)

... If so, I wish I was you.

For USA:
Internal Revenue Service

[seasoned]

Mark,

I DOUBT you are right. Look at the beatles. They were AGAINST taxes, and were away from britain a LOT. THEY didn't seem to think they had that freedom.

IF you are merely a resident, you probably don't have to pay for the time you aren't there. I think most places consider you a defacto resident(if you would otherwise be visiting) if you are there over 90 days. I GUESS you could conceivably have 5 places and move among them, but there might be laws THERE! And there is almost certainly some cooperation between the countries, especially in the EU. And you DO need citizenship to do so.

I would say find a GOOD KNOWLEDGABLE TAX ATTORNEY, and ASK THEM! DON'T simply ask an acountant, etc... because they may even know less than I do about this.

Steve

[Kay King]

I'm pretty sure if you are out of the UK for more than 80% of the year, then you don't have to pay tax in the UK.

Being "pretty sure" can cause you big problems. Learn what the tax codes are in the UK - or visit an accountant for an explanation.

kay

[Richard Tunnah]

Originally Posted by Kay King

Being "pretty sure" can cause you big problems. Learn what the tax codes are in the UK - or visit an accountant for an explanation.

kay

Kay is right. Do your taxes wrong and you could be hauled into court next time you enter the UK facing a large back tax bill, fine and a stay at her majesties pleasure! As already suggested don't mess with tax get a professional that has spent years learning what is right for you and you alone. Plenty of UK accountants will give you a free intial consultantion.

Rich

[jacktackett]

Most folks seem to be talking about income taxes - but here in the US - in NC - you have to watch out for sales tax as well - what I think the UK and others call VAT. Here in the US we also have property taxes we pay on stuff we use to run our businesses plus licenses we have to pay for (but for some strange reason the state doesn't call those taxes - go figure).

Anyway - as others have said here - you really need to talk with an accountant or other tax professional. Otherwise you could be in for some rude awakenings.

good luck and kudos for taking action.

best,
--Jack