Do you have to follow specific tax and Social Security laws when you work online in your countries?

[pousinha]

In both European Union (especially among some southern countries) and the big Mercosur countries, we need to follow tons of bureaucracy, if we work online. Whatever the online job we perform (including our participation in PTP forums and our use of pay to play apps from Play Store). In my country, we must report for R.S.I. purposes all our online earnings, especially when they come from abroad (practically, the 99% of my online earnings). We are obliged to search for the value of the dollar on the last weekday of the first 15 days of the previous calendar month, to calculate the right amount to fill a monthly tax report. If we want to work as freelancers for Upwork, Fiverr and similar sites, there is an additional cumbersome obligation: the registration as self-employed to the Municipality. Such a registration implies to pay a huge tax to the Social Security, whose amount is about 300 euros per month in certain European countries and the 20% of a minimum salary in my country. And another tax to the same Municipality on a certain percent of our earnings. Obviously, the aim of the governments in such countries is to strongly discourage the self-initiative and the jobs performed out of our territory.

 

[Kirubel]

My government don't cut tax and don't have any tax rule on the work we conduct online, there are a lots of peoples who get good money from YouTube but the government never get any tax from them.

 

[pousinha]

You are very lucky in your country. In the EU and in my country too, governments compel YouTubers to open a VAT, that in Spain and Italy is shamefully expensive. In Italy, it costs 4000 euros per year plus compulsory accountant fees (if you are a YouTuber or in any way, whatever freelancer obliged to a VAT, the government compels you to rely on an accountant). The only way to escape from such a cumbersome obligations, is to get an employment to work for a third party, so the YouTube or Fiverr or Upwork activity shows itself as a side job in your tax report.

 

[Suba]

In my country there is no tax imposed on online workers, whether freelance, working on forum sites, faucets and paid to click sites, etc., because the income of online workers is generally below $317 per month, which is the minimum taxable income. but for trading both forex, stocks and crypto will be subject to tax.

 

[Kirubel]

You are very lucky in your country. In the EU and in my country too, governments compel YouTubers to open a VAT, that in Spain and Italy is shamefully expensive. In Italy, it costs 4000 euros per year plus compulsory accountant fees (if you are a YouTuber or in any way, whatever freelancer obliged to a VAT, the government compels you to rely on an accountant). The only way to escape from such a cumbersome obligations, is to get an employment to work for a third party, so the YouTube or Fiverr or Upwork activity shows itself as a side job in your tax report.

That is a lots of money 4000 euro per year is bit high for me, it think a youtuber in my country is so lucky, how can the government access the money you have on YouTube is is because the government have agreement with YouTube and AdSense?

 

[Suba]

Google has representatives for each country, so it will be easy for the government to track and find out what YouTubers earn from influencers and celebrities. If a YouTuber's income is above Non-Taxable Income of IDR 54 million a year or the equivalent of $3489, they are not subject to tax, but they have to report it to the taxation department.

 

[pousinha]

That is a lots of money 4000 euro per year is bit high for me, it think a youtuber in my country is so lucky, how can the government access the money you have on YouTube is is because the government have agreement with YouTube and AdSense?

The Italian, Spanish or whatever Mercosur government doesn't have access to YouTube accounts, but yes, these governments have access to our bank account. When we withdraw to our bank accounts, the banks have the obligation to report our withdrawals to our governments. If our tax reports lacks the information about the origin of that money (where such a withdrawal comes from?), we get severely fined. Hoping I explained well the situation among these countries.

 

[Kirubel]

The Italia, Spanish or whatever Mercosur government doesn't have access to YouTube accounts, but yes, these governments have access to our bank account. When we withdraw to our bank accounts, the banks have the obligation to report our withdrawals to our governments. If our tax reports lacks the informations about the origin of that money (where such a withdrawal comes from?), we get severely fined. Hoping I explained well the situation among these countries.

Oh wow, so that is how they cut the tax from youtubers, so that means they can also cut your money that you earn from ptp and other online jobs right? that is hard.

 

[pousinha]

Whatever online job, in Europe and Mercosur we have the obligation to declare on our tax report. In Europe, it's a tax report per year and in my country it's a tax report per month when our online tasks come from abroad (obviously, the 99% of my online tasks, as my old-fashioned country usually doesn't show the least initiative to implement online paid activities above few cents per month). But our mishap is not so much constituted by taxes and yes, the report mode compelling us to fill a so cumbersome monthly tax report.

 

[Kirubel]

Whatever online job, in Europe and Mercosur we have the obligation to declare on our tax report. In Europe, it's a tax report per year and in my country it's a tax report per month when our online tasks come from abroad (obviously, the 99% of my online tasks, as my old-fashioned country usually doesn't show the least initiative to implement online paid activities above few cents per month). But our mishap is not so much constituted by taxes and yes, the report mode compelling us to fill a so cumbersome monthly tax report.

Good to know, the only use we get from being a third world country is not getting taxed for our online jobs, lol

 

[pousinha]

My country is a third world one (as the majority of Latin American countries), but it likes very much to mimic European countries and these are the results. The obligation to register with the municipality before beginning to become a freelancer and get a payment from Fiverr, Upwork, etc., is the very same Spanish tax legislation.

 

[Abdulhamid01]

In both European Union (especially among some southern countries) and the big Mercosur countries, we need to follow tons of bureaucracy, if we work online. Whatever the online job we perform (including our participation in PTP forums and our use of pay to play apps from Play Store). In my country, we must report for R.S.I. purposes all our online earnings, especially when they come from abroad (practically, the 99% of my online earnings). We are obliged to search for the value of the dollar on the last weekday of the first 15 days of the previous calendar month, to calculate the right amount to fill a monthly tax report. If we want to work as freelancers for Upwork, Fiverr and similar sites, there is an additional cumbersome obligation: the registration as self-employed to the Municipality. Such a registration implies to pay a huge tax to the Social Security, whose amount is about 300 euros per month in certain European countries and the 20% of a minimum salary in my country. And another tax to the same Municipality on a certain percent of our earnings. Obviously, the aim of the governments in such countries is to strongly discourage the self-initiative and the jobs performed out of our territory.

Wow,there is no such thing here in my country, you can work online freely without paying any amount to the government and this is why people work online actively in my country.

 

[pousinha]

I think such a mishap only happens among tier2 European countries (maybe some tier1 too) and tier3 Latin American big countries. Usually, Asian and African countries are free from such a mishap because the regulation isn't the same intrusive as among the western world.

 

[Nsidibe]

In most countries you have to apply and consider law and obligations on working online in your house. There are special laws to be consider while working online in the house to make sure what you perform online is not affecting others . You have to follow tax and some specific laws should Ben consider.

 

[pousinha]

The mishap among countries like Italy and Spain is not taxes, but the presumption by the government of very high earning only because it's not a classic 9 to 5 job you perform to benefit a third party. The government believes you become rich quickly, if you are a freelancer. But it's false in most of the cases: nobody becomes rich accepting GIGs from Fiverr. GIGs have a value of crumbs, only 5 dollars per GIG. And the competition between freelancers is very fierce. So the aberration you earned 5 dollars in a whole month to perform a GIG and cause your freelancer status, you must pay 300 euros to Social Security and other taxes to the municipality. In addition, you could have compulsory accountant fees if you live in Italy or Spain and cumbersome bureaucracy if you live in Brazil.