Holding paymebt to save taxes?

[jason77]

Next years, taxes are going to be lower then this year,
so I am thinking of just holding the payment from now until January, so I dont need to tax them this year but next year.

What do you think about that?

[Erku]

This sounds interesting. Any accountants here?

[MediaSpree]

I say take the money and run. Even if you are not violating TOS, Google can shut you down at a moments notice (invalid click attacks have been known to happen) and wipe out all held earnings.

[kartiksh]

Agree with MediaSpree. Better to pay higher tax then loosing earning for unknown reasons.

[incrediBILL]

Why on earth would you let anyone else hold your money and earn interest on it when you could invest it?

More importantly, what if your account was banned?

POOF! All gone...

Never let anyone hold your money, bad idea.

[ann]

IMHO,

If you earned it this year and you report on a cash basis then you must pay tax on it. It won't matter who holds it for you, Google or Aunt Josie as long as you can say "Gimmee my dough!" It is effectively yours and Uncle wants his cut if you are in the US.

Ann

[kartiksh]

Snip!

[apology posted in wrong thread]

[PinkFairy]

The same is true in the u.k. as far as tax having to be paid on income for a particular year.
I have thought about letting google keep my money for a few months when the u.k. £ has been very strong against the dollar but it's not really worth it considering my revenue from it. in any case, it's better in my bank account than in google's, there's still a pitance of interest to be had.

Now that I've had my 3 weeks holiday in the U.S. I can cheer on the dollar aainst the £ ;-)

[sailorjwd]

For those US publishers I suspect Google will still report your earnings on the 1099 whether you take them or not.

However, you may be able to accelerate expenses by paying some bills ahead of time in December for next year.

[vincevincevince]

It seems you may be better off with a business. I don't know though. But a business normally has it's own tax allowance which will allow you to take the money now and keep it in the business, using it for expenses or wages/dividends next year if you wish.

[caspita]

Well.. I have been doing this since the begining in self :-) ... I'm in US on an H1B visa and all these tax matters are very confusing and in addition to that the "you can not work on an H1 for other that your sponsor employer" etc. So I decided to do just that, hold the payments until I can clear-out all my questions.. OR until I become a resident (GC) with no restrictions OR until I go back to my onw contry, change my address, tax information and then deal with GG to send my payment anywhere.

Let's say that the money is not to much now, but it is enough to pay for a good trip and the investment has been almos nothing (the tipical 5 year old hibbie site), still, I won't be happy loosing that money but I'll prefer that, that having issues wiht my GC process because of the "additional income".

I didn't do that with out researching a little anyway, somebody just told me that because there is no prof of money given to me (check, EFT, invoice, bill, nothing), is just like you are not liable for taxes. Just imagine someone winning the lottery, the person won't have to pay any tax at less they claim the money (who won't? :-)) .. until then, they will pay regular tax ;-).. I don't know if that is last word of true, but that's the way I'm doing it ;-).

CS.
PS : No legal advice here!