Full time bloggers - do you pay tax?

[Metz]

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Went to BIR mambaling, di man sila katubag sa ako questions kay something new daw.
Di pa sila maka accept sa idea of professional gambling.
I refer pako sa regional BIR.

Naay CPA dira? kay murag matubag raman ni ninyo hehe

[Von!-x]

metz, it is indeed new here in the Philippines. The legal division may or may not have an answer. Here are some questions:

Do you have a TIN? Have you ever filed an ITR before? Do you really want to pay taxes, even if the taxmen has no way of knowing it (at least for now)?

For individual filers, file quarterly and annually. For pure compensation earners, no need to file ITR. The 2316 - Withholding tax certificate will do. Declare your earnings and you may use the 40% optional standard deduction. The tax forms has some tables on how to compute the tax.

Malipay gyud ang gobyerno ani!

But to be very very sure about it, hire a lawyer or a CPA to secure a BIR ruling (a formal and written ruling).

[Metz]

metz, it is indeed new here in the Philippines. The legal division may or may not have an answer. Here are some questions:

Do you have a TIN? Have you ever filed an ITR before? Do you really want to pay taxes, even if the taxmen has no way of knowing it (at least for now)?

For individual filers, file quarterly and annually. For pure compensation earners, no need to file ITR. The 2316 - Withholding tax certificate will do. Declare your earnings and you may use the 40% optional standard deduction. The tax forms has some tables on how to compute the tax.

Malipay gyud ang gobyerno ani!

But to be very very sure about it, hire a lawyer or a CPA to secure a BIR ruling (a formal and written ruling).

Yup naa koy TIN, but I havent filed an ITR kay I think ako ra employers mo file ani, thats why igo lng ko mo pirma sa BIR 2316. Also, the main reason I want to pay tax(or make sure what taxes I must pay), kay once mag full time ko sa poker Im sure in the long run mogukod ra gihapon nako ang problema(if naa). Klaro kaayo nga ma question ko kay wa nagud ko nagbayad ug tax.

Pwede ba maconsider as pure compensation ang earning thru gambling?
Btw, pila ba ang rates sa mga CPA ron? maski consultation lang. Kay as of now, maconsider paman ako income as negligible to require a CPA

[sylar]

Metz, my two cents. Your earnings could not be considered as compensation since there exists no employee-employer relationship. It could be more appropriately considered as business income, for the lack of a better option but your taxation rates will be based as an individual taxpayer. You may be categorized as like those of professional athletes...

[lairy_fights]

Online earnings is quite new.
I have not read a provision about it in the NIRC.
But basically, you have to declare your earnings man gud jud.
Like what von said, bisan pag illegal na gikan.
CPA rates depends sad sa locality ug experience niya.

[Metz]

are winnings from gambling considered earnings?

[Von!-x]

are winnings from gambling considered earnings?

yes, even the share in some loot.

but again, our tax people will not know about it unless you declare or someone else announces it. this is what happened sa mga professional athletes and actors/actresses. Those who hired them declared to BIR their income payments to these professionals. Let's say XMG Productions declared they paid P5M to a sexy actress in 2007. So, the taxmen will also expect that the sexy lady will declare that P5M in her ITR.

If you'll be a big time poker player someday, and some poker sites list your winnings, and then a taxman happens to see the list and verifies your tax payments, there could be a problem.

[Von!-x]

In addition, if you'll become a big time professional someday, hire someone to do your tax planning. As to the rates, it depends. Some multi-millionaires hire big time accountants.

[sylar]

there are only a few winnings that are exempt from taxes in our country. Lotto or sweepstakes earning, beauty pageant earnings and other contests that brings prestige to the country internationally. However, since poker is not yet recognized in the Philippines as a type of sport or betting for the benefit of charity under PCSO so that would be more likely taxable.

[tOrTfeaSoR]

Ic. Its quite complicated, murag CPA or BIR nalang jud maka tubag ani ug tarong.

Thanks,

The National Internal Revenue Code of the Phils. under Sec 32 provides that if you are a Resident Citizen of the Philippines you are tax for income received within and without the Philippines. However, since you have made mention that your source of income would be online poker, the above mentioned provision does not apply because such provision applies only to income received from business, trade, service, or profession. Exception to exception is if you consider yourself a professional online poker player.

By the way, would you mind sharing what poker website are you trying to make money out of with. I'm interested. I find ladbrokes.com very interesting, it is also a poker website from australia. Though, I have not made any real deposit yet.