Monday, October 12, 2009

Can some one help me to understand what is the taxman's interpretation of income from online business ?

Main concern is how the income under various categories is interpreted ? for example: Paid surveys, Paid to click,paid to read emails, Paid forums etc...each one of them represents a different concept in generating on line income.





In continuation: The internet expenses, antivirus protection, software,land line rent r these deductible as allowable expenses for calculating the net income ?
Can some one help me to understand what is the taxman's interpretation of income from online business ?
In my view taxman's interpretation of the on line business will be within four corners of I T Act. The concept of tax ability , in absence of any clear provision on the on line business , is same as any other business. The concept is very fundamental and can be explained in following manner





Gross receipt from the On line business


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All expense incurred "Wholly and Exclusively" for Earning such On line receipts





Remember the onus to prove Expense in on YOU .





Thus at present there is no problem for assessment of such income . The only lacking point maybe the awareness of these business by taxmans.
Reply:Revenue from 'Paid surveys, Paid to click,paid to read emails, Paid forums'-seems funny. I havent heard anybody making money from these sources other than those who own them. If you are serious about taxation of online income, then visit http://www.ros.ie
Reply:I assume that you are from India and these income are income received by rendering services.
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