Website Income

[godsfshrmn]

I made a decent amount (for being a college kid) off my website last year. My question is, where do I need to claim it? Should it be under other incomes?

[beley]

You should talk to a tax professional, but yes I think you can just claim it under other income if it's under a certain amount. You could also claim it on a different form as business income which would give you the ability to write off business expenses as well. You might consider having someone like H&R Block do your taxes. They are usually pretty good at small businesses.

If you're in the US, check out www.irs.gov - they actually have a lot of really good information.

[godsfshrmn]

I don't have time to talk with a tax man =/ Is this considered a business? I checked the IRS site and I couldn't find any specifications on what makes up a small business. I am the only owner and person who works on the site. This is all to confusing =/

[angelos]

Apparently, you are supposed to set up a business entity at first. As web business is still a business it must be run in a legitimate form. In this case you can't avoid consulting with respective officials of your region. As far as I know what might be most appropriate for you is to set up a sole proprietorship entity and to obtain a business license, so check with your local authorities how to do it.

[tke71709]

I don't have time to talk with a tax man =/

Well the upside is that when you're doing 3-5 for tax evasion (accidently mind you) you'll have plenty of time to talk to a tax man.

[tanyapt]

I am certainly not an expert, but to my understanding you would be basically operating under a sole proprietorship - just like waiters, babysitters etc. You report your income on your personal tax form 1040 and fill out Schedule C. Good sources: http://www.irs.gov/businesses/small/...=98202,00.html and http://www.sba.gov/starting_business/legal/forms.html. And as the others said - tax professional is best.