Quote:
Originally Posted by SouthernCumfort
I've made almost $11k this year with CrakRevenue. And this is my first year making money online period.
Curious how taxes work sense they are based in Canada? And also how much do you think Uncle Sam will take? My friend said like 40%!?!? If that's true that's total B.S.  |
If you are a sole proprietor you could get hit hard depending on how you have your business set up. If you are an LLC, an S-Corp or a C-Corp, it is quite possible for you pay no tax quite legally, again, depending on how you are set up.
As a sole proprietor you could be looking at a 28% bite as ordinary income if you do not itemize. You may also have to pay into Social Security on the gross amount as well as self-empolyment tax.. You are stuck with however you had things set up in 2012 though, as it is too late to change it.
Plan ahead!
