Jump to content
  • 0
Sign in to follow this  
SBsSouthernKitten

Store

You are about to reply to a thread that has been inactive for 2366 days.

Please take a moment to consider if this thread is worth bumping.

Question

  • 0

If you have more than 200 Marketplace sales in a year and a gross income from those sales of more than $20,000, Linden Lab is required by U.S. law to file a 1099-K form with the IRS, reporting those sales.  If you receive a 1099-K form from PayPal that has a higher number, it would be because you withdrew money from SL from other sources than just Marketplace.  In any case, you are taxed on money that you remove from SL.  Remember that L$ are not money. They are "in-world tokens" with no cash value until they are traded with other SL residents on the Lindex.

Read Linden Lab's Tax FAQ for more details >>> http://wiki.secondlife.com/wiki/Linden_Lab_Official:Required_Tax_Documentation_FAQ

And consult your local tax attorney if you have other questions.

  • Like 1

Share this post


Link to post
Share on other sites

2 answers to this question

Recommended Posts

  • 0

If you have more than 200 Marketplace sales in a year and a gross income from those sales of more than $20,000, Linden Lab is required by U.S. law to file a 1099-K form with the IRS, reporting those sales.  If you receive a 1099-K form from PayPal that has a higher number, it would be because you withdrew money from SL from other sources than just Marketplace.  In any case, you are taxed on money that you remove from SL.  Remember that L$ are not money. They are "in-world tokens" with no cash value until they are traded with other SL residents on the Lindex.

Read Linden Lab's Tax FAQ for more details >>> http://wiki.secondlife.com/wiki/Linden_Lab_Official:Required_Tax_Documentation_FAQ

And consult your local tax attorney if you have other questions.

  • Like 1

Share this post


Link to post
Share on other sites
  • 0

If you don't get an email from LL asking you to provide information for a 1099, then no.

Most of us running little hobby operations don't need to worry about this, as we seldom or never take profits out of SL.

Share this post


Link to post
Share on other sites
You are about to reply to a thread that has been inactive for 2366 days.

Please take a moment to consider if this thread is worth bumping.

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Answer this question...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Sign in to follow this  

×
×
  • Create New...