Minecraft, tax ranks, yes / no?

un
- in Servers
7

I learned a bit about a rank sale and found out that donations do not have to be taxed as long as there's no profit.

Since I run a server I would like to offer ranks. If the revenues of the ranks go completely on my (case study) Nitrado account, I make no profit if everything goes into the server? Would the ranks have to be taxed or not?

gl

Who cares? No one at the tax office cares as long as you keep it small. I do not think that will cause any problems.

un

I do not think so. As soon as someone reports that, it can happen quickly if someone was banned and the server wants to be damaged, it will be expensive.

gl

Yes, on what basis? How should you know if you are taxed or not? Believe me, nobody thinks.

un

Hold on. Have just heard about the basic allowance, which is 764 euro per month. Does that mean that if I earn less than that amount in a month, do not I have to pay tax? In principle yes.

Sn

Believe me, there are enough people who think about it. Grade other server operators when they see competition.

un

In my case not so dramatic, because I go in a direction where there are about 6 servers.

Th

Donations have nothing to do with donations.

But to the possible taxes:

Income tax you would actually only have to pay if you make a profit. If you were serious about making a profit, but there's a loss around it you could also with other income z.b. To calculate as an employee. Do you use the server but also privately, eg. Because you are gambling on it yourself but you should not deduct all the costs and you would have to split them (if necessary, estimate)

But as you describe it is more likely to be purely a hobby without profit intention intention so income tax would not be an issue.

The situation is different with regard to sales tax. The intention is to generate income sustainably. But there's a small business regulation. This means that if you make a maximum of 17500 euro turnover per year, no VAT will be charged. But you have to register with the tax office and once a year the amount of sales in the sales tax declaration