Taxes, Taxes, Taxes......

[pyratas]

Hi all,

Now that Tax Season is sneaking up, I have NO IDEA where to begin with my porn earnings.

I only filed W-9s with a few sponsors.

Didn't make a lot this year in porn (slightly under $10k) but also didn't work hard for the money. (I make my money as an IT, but the porn stuff has been a great, and fun, help! With very little effort)

I can keep track of the W-9 sponsors, but what about the rest?

I have spent the last year just getting checks and depositing them, not thinking about taxes.

Any links/advice on where to begin?

I have had so many sponsors, many of which I have dropped, and really just didn't keep good notes on the stuff.

Should I ignore everything except the W-9 earnings and let the IRS audit?

My total earnings will be well in the blue-collar zone (including all labor combined), so I'm not terribly worried....I'm not getting rich.....But I would rather keep as clean as possible with the IRS even if I don't manage to report everything because of blatant retardation on my part.

At this point I really don't remember where most of the money came from.

Hmmmm.......

[phuckbunny]

We're in the same EXACT boat so I'll have to add that I have no idea where to begin and also add yet one more question.

What about foreign sponsors? Apart from one or two Yanks, the sponsors that actually make me money are based out of Czech, Oz, UK, and of course Lana's home somewhere south of Alaska which I think used to be called something like Acidrainida.

They don't send any W9s.

I vaguely remember that an old friend who worked as a stripper (hehe, no, it's not me), who was rather conscientious about being straight and clean with money & taxes (she was also brought up as a Mormon), telling me she would kind of estimate everything the way you would as a waitress or what not, but having never either stripped or waitressed I haven't a clue as to how to do that.

Any help?

I'll say that one thing I'm looking forward to for next year is donating my car to get the tax write off and buying a new cool used car like these old veggie oil MBs people are driving around in my hood.

OK, so what about taxes? Help us out, froggers.

[Cozy Monica]

First, it would be better to estimate (and overestimate a little) than to not claim any of your porn income.

You might be able to contact your bank and get a statement of all your deposits over the year and figure out which were your porn cheques.

For the future, I highly suggest you set up a spreadsheet and keep track of every cheque that comes in. Write down where it came from, what date it was for, and how much it was. This way, you've always got an accurate record of your income.

Not only is it good for taxes, it's EXTREMELY useful for seeing where your efforts are paying off, and where they aren't.

[sunfunbill]

Hmmm, this brings up something else I have not thought of. Do places like CCbill report what they sent you to anyone? Do the sponsers report that they paid you X amount?

It sounds like I'm trying to see if I can get away with not reporting my earnings, but that's not it. It has to do with a few creditors that I'm keeping at bay until I can do something I'm working on,,,,

[porn punk]

Originally posted by Cozy Monica
First, it would be better to estimate (and overestimate a little) than to not claim any of your porn income.

You might be able to contact your bank and get a statement of all your deposits over the year and figure out which were your porn cheques.

For the future, I highly suggest you set up a spreadsheet and keep track of every cheque that comes in. Write down where it came from, what date it was for, and how much it was. This way, you've always got an accurate record of your income.

Not only is it good for taxes, it's EXTREMELY useful for seeing where your efforts are paying off, and where they aren't.

If this were someone's predominantly only income, can they be expecting an audit or would they be being overly concerned (realize your from Canada but just curious about getting a feel)?

Also, bill asked a great question. How much of this is actually reported (I'm sure it's different if it's your main income again), and are records enough or do you need each and every little receipt?

I'm trying to track down this entertainment accountant I've used in the past but can't find her for the life of me.

Maybe she's doing federal time

[mynameisjim]

I'm the most unorganized person on Earth but every time I get a check, I just tear it off and throw the other portion in a box. If it doesn't have the check amount I just write it on there before I tear it off. A better way would be to get an accordion style folder and label each month. Of course, the best would be a spreadsheet but I just can't keep up with it.

Also, save all your receipts for computers, software, chairs, desks, glasses, and everything else for possible deductions.

[pyratas]

Also, save all your receipts for computers, software, chairs, desks, glasses, and everything else for possible deductions.

I'm writing off my new laptop!



I'll just do the best I can.

I'm not trying to pull anything on the IRS, actually the opposite.
I'll just put (and get taxed) on everything I can recall. I'll start with the W-9s and see if that is enough.....If not, I've dealt with the IRS when I was a broke student, and they were really quite nice to me. (It was over about $700, and I talked to several IRS folks on the phone that were really mellow and nice about it).

Now that $700 seems like chump-change (as a "grown up" hehe), I'll never forget how nice they were to me back when $700 felt like a million bucks during my College days.....


Always Learning!

[Cozy Monica]

Originally posted by porn punk
If this were someone's predominantly only income, can they be expecting an audit or would they be being overly concerned (realize your from Canada but just curious about getting a feel)?

Also, bill asked a great question. How much of this is actually reported (I'm sure it's different if it's your main income again), and are records enough or do you need each and every little receipt?

I'm trying to track down this entertainment accountant I've used in the past but can't find her for the life of me.

Maybe she's doing federal time

I don't know how it is in the states, but audits are completely random in Canada (to my knowledge). They do a certain number each year, and they almost literally pull their choices out of a hat. So, you always live with the possibility that you could be audited, but for the most part, you probably won't. It's a way to keep people honest.

As far as how much is reported, you've probably noticed that all of the affiliate programs based in the states ask for your Tax ID or SIN or whatever it is. That's for tax purposes.

I've heard that you have to make $600 from a particular sponsor before they have to file papers, but I could be wrong... I'm in Canada.

As for records, when you have a physical receipt for something (desk, laptop, office supplies), you have to keep the actual receipt. When you are reporting income that didn't come with an official tax form (W9 in US, T3 in Canada I believe), then as far as I know, records are enough.

You really have to keep records of these things, it's super important.

However, it never seems that way when you're starting out, because you can't believe you'll actually make money. Then next thing you know, you're looking back at the mess and missing records and you have a lot more than you thought you would have to report.

[porn punk]

Originally posted by Cozy Monica
I don't know how it is in the states, but audits are completely random in Canada (to my knowledge). They do a certain number each year, and they almost literally pull their choices out of a hat. So, you always live with the possibility that you could be audited, but for the most part, you probably won't. It's a way to keep people honest.

As far as how much is reported, you've probably noticed that all of the affiliate programs based in the states ask for your Tax ID or SIN or whatever it is. That's for tax purposes.

I've heard that you have to make $600 from a particular sponsor before they have to file papers, but I could be wrong... I'm in Canada.

As for records, when you have a physical receipt for something (desk, laptop, office supplies), you have to keep the actual receipt. When you are reporting income that didn't come with an official tax form (W9 in US, T3 in Canada I believe), then as far as I know, records are enough.

You really have to keep records of these things, it's super important.

However, it never seems that way when you're starting out, because you can't believe you'll actually make money. Then next thing you know, you're looking back at the mess and missing records and you have a lot more than you thought you would have to report.

Thanks, Monica. Still trying to decide how I'm going to attack this. I know I'm going to try and do them myself first just so I know how to spend my money next year (this year) but might just end up hiring someone before April after all

[crockett]

I've always wondered what would stop someone from signing up to a affiliate program as Micky Mouse, then elect to get paid by epass with a card in the name of Micky Mouse.

I don't do it, but I can't think of any way the tax man would catch yea. Assuming you are claiming at least part of your income.