Tax

I'm certain that whether TAF money is taxable or not depends on what country you live in.

In Canada, you can find all of the tax rules on line, perhaps something similar exists for Latvia. The next trick is understanding them...

--VS

Moderator mentioned Latvia. If you're from Latvia then this one: http://www.em.gov.lv/e-komercija/page5aaa.html?id=68

thanks harold =]

one more question... than so the free 50$ capital should too be taxed? (In Latvia's jurisdiction it's set that all responsibility about tax withholding is on service provider(the online casino or poker platform)).

You're in lawyer territory now.
If they tax the income, then perhaps they allow you to deduct the expenses.

I would guess that in most jurisdictions, even the $50 would qualify as a "promotional consideration" or "incentive" and like rebates and other special offers would NOT be subject to tax.

You could make the same argument for TAF money, too I suppose.

Cheers,
--VS

VorpalF2F

Do you think pokerstrategy should inform players who does refer people to this site, that they should understand that this money what they earn from TAF could and probably should be taxable?

I piratically haven't seen any info about this TAX topic, just about how referring people can be fun and profitable, I mean.. many people could get in trouble.

Yes I know that "ignorance does not release from responsibility".

But shouldn't pokerstrategy make at least one topic on this just to remind referrers that this could be dated as income (yes you probably can avoid whit small sum's and especially in online environment) and so you are avoiding taxes ...

What's the line between big and small sum's ?
How much refer money does count as a "promotional consideration" or "incentive"" money?

What's the max sum I can get away whit?

Would't be great that in their great news topics about "How refering is great" they would add "study your's country jurisdiction about this kind of income", since you can go to jail for not paying taxes ?

This would show that they care...

But I guess this "study taxes" line would probably damage attractiveness of TAF, since we all are not so bright in this law studying topic..

What's your opinion on this?

Originally posted by sausage646
VorpalF2F

Do you think pokerstrategy should inform players who does refer people to this site, that they should understand that this money what they earn from TAF could and probably should be taxable?

Good question.

I'll bring it to the attention of the other mods, who may have better, or more detailed answers.

In all commercial dealings with anyone, each side of the transaction is responsible for their own person conduct -- and that includes taxes. To point it out explicitly for each and every instance would qualify as "stating the obvious"

I think though, that I will pass your comment along as a suggestion that PokerStrategy.com include a comment about taxation being the responsibility of the member.

Keep in mind that the above is only my personal opinion.

Regards,
--VS

Thank you.
Definitely looking forward for how this topic will develop.

Appreciate your assistance

Hi guys,

Interesting question. It is not a matter of no wanting to draw attention to the topic.

Most countries have minimum criteria for when you need to declare something as income; whether it is cash or a gift. Generally the minimum is a few hundred dollars/pounds/euros. For most of our Tell-a-Friend referrers or for those who receive free starting capital there is no issue.

If your referral activities exceed the local minimum for taxable income then of course you will need to declare it when you submit your annual tax returns.

There is no simple answer that applies in every country. The best thing is to visit your local tax office's website for clarification.

Have a nice Sunday!
Ingrid

Hey, here me again, I know we did come to conclusion that if TAF pay out exceeds some specific amount you have to pay taxes, but just to make sure, I made a ticked in ps help section. ( I hope that posting it here isn't against forum rules )

"Dear sausage646,

Thank you for your message.

Please note that you'll not have to pay tax on your accrued Tell-a-Friend bonus funds. For details regarding the payout of Tell-a-Friend bonuses, simply click on the link below:

Tell-a-Friend: Payout.

If you have any further questions simply send me a ticket and I'll be happy to help.

Kind regards,
Mark"

... and now I m little confused, who to listen ?

Hi sausage646,

Ingrid has suggested that after a certain limit has been reached then it would be wise to contact your local tax office. I'm sure if you search the web you could find out all this information for your country/state.

I would take Ingrid's advice on this one. Not that Mark's is incorrect either. It would truly depend on each countrys tax rules separately and thus we can only give you a general answer.

Hope this helps,
Gary

I agree with Gary, beat me to it!

taxes? that's just silly

Taxes are important so this tread will do well..