I use a combination of practical tax tips for bloggers (informed by my CPA), paired with just a small handful of useful, free and inexpensive tax tools to manage all of the tax implications of running my blog business. It’s not difficult to learn how to do taxes on your blog income—El-Salvador Email List and we’re going to walk through all of my tax tips for bloggers here today.By now, I’m assuming you’ve probably started a blog, began reaching your target audience, figured out how to promote your content—and your blog is now beginning to make some money (or you’re planning for that outcome).
Tax Overview Tor Side Hustle Bloggers (Schedule C)
Now comes the responsibility that many small business owners in the blogging world dread—taxes for bloggers. A hobby blog exists primarily to share an interest, tell stories or document your life. Making money may be a secondary consideration, but it isn’t your main concern. El-Salvador Email List In the beginning phases of blogging, it may feel difficult to differentiate between a hobby and a business. It’s common for blogs to make little to no profit for months (even years), so determining if you’re hobby blogging or business blogging is more about your mindset, approach and goals.
Tax Overview For Full-Time Bloggers
Doing things like accurate bookkeeping to keep track of your blog’s expenses, formulating a proper blog business plan for how you’re going to grow, maintaining a regular schedule and keeping track of how much time you’ve spent working on your blog indicate that you’re El-Salvador Email List running a business. The IRS has more information to help you determine if your blog is a hobby or a business. Here’s a major downside to hobby blogging—you can only deduct your expenses up to the amount of profit you make. So for example, if you purchased a $1,200 laptop to work on your blog, but only made $500 in profits for the year, your total deduction allowance is just $500.