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YouTube tells foreign creators they will soon be charged American tax

rt.com

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Re: YouTube tells foreign creators they will soon be charged American tax

#201

Post by LinuxBender »

gruez wrote: post #179
LinuxBender wrote: post #158

Earlier quoted context omitted.

That money comes from tax revenue. You already paid taxes on your income once. Now you are getting taxed on it again when it recycles back to you. You will also get taxed on it again when you spend it. There is a flow chart somewhere that shows the myriad of ways the same money is repeatedly taxed.

>That money comes from tax revenue. Technically it comes from unemployment insurance premiums. Wikipedia says: In the United States, benefits are funded by a compulsory governmental insurance system, not taxes on individual citizens. It's easy to imagine some sort of alternate reality where the unemployment insurance system is handled by a private company, for instance. Moreover, calling it double-tax doesn't really…

If it isn't a tax, then may I opt out of it and/or get all the money back I put into it? My current strategy is government grants to fund project I want to do regardless, but I don't think that will ever really break even.

Re: YouTube tells foreign creators they will soon be charged American tax

#202

Post by OJFord »

ctroein89 wrote: post #172
OJFord wrote: post #149

Earlier quoted context omitted.

It's arguably not US sourced income by virtue of US viewers though. If US people visit the UK, our shops don't charge and pay sales tax in the US. Really it should be about where the server is I suppose, regardless of whether the viewer is American or not. The internet is interesting and messy and laws & regulation are far from caught up.

The better analogy here is that if a German band plays a concert in the UK, they still need to pay UK taxes on their ticket sales. Even if the band is incorporated in Germany, the portion of the tour that occurred in the UK is still subject to UK taxes. Additionally, most European countries permit duty-free sales to foreign citizens in normal stores under the right conditions (often via requiring a passport to be sho…

Sure, but likewise that's because they're in the UK.

It's not so clear that the sale or performance is in the US if it happens online.

If a band live streams a concert from a server in the UK and someone in America watches, ... I don't think it's so clear.

Re: YouTube tells foreign creators they will soon be charged American tax

#203

Post by ricardobayes »

graeme wrote: post #21
ricardobayes wrote: post #10

Is royalties a different category for US taxation than other revenue streams?

Depends on the tax treaty. With Canada and the US it is for example. So, the Canadian creator complaining should in theory be able to file a W-8BEN form with youtube showing Canadian beneficial ownership of the channel, and then the tax rate will be 0% due to the US Canada tax treaty. The creator will likely need an ITIN as well. Not a lawyer. Just have done this for royalties via amazon’s printing company. Amazon ot…

Why would they need an ITIN? They are not filing US taxes.

Re: YouTube tells foreign creators they will soon be charged American tax

#204

Post by sudosysgen »

nivenkos wrote: post #157
sudosysgen wrote: post #150

Earlier quoted context omitted.

Yes, that's why RT picked up the story, because it's a good propaganda piece that shows that the US does not care about fairness abroad, simply raw interest.

Is it still propaganda if it's true?

Well, I guess it could go both ways, but I learnt it as even if it's true it can still be propaganda - propaganda isn't inherently misleading, but you always have to be careful.

Re: YouTube tells foreign creators they will soon be charged American tax

#205

Post by sudosysgen »

thu2111 wrote: post #196
martin8412 wrote: post #132

Earlier quoted context omitted.

This is literally not even the remotely same thing.. The EU wants to tax companies earning money in the EU.. The US wants to tax people/companies in every other country around the world. The US is one of those few countries with insane tax legislation. As a US citizen, you won't have a good time moving anywhere, because almost nobody wants to deal with US citizens because of the batshit crazy tax laws.

It's exactly the same thing. EU tells US companies they have to pay money to European governments if they have European customers or users. Same is happening here in reverse.

The difference is that first, that's a business not an individual, and that European companies would have to pay the same taxes, whereas if you're, say, an Indonesian you'd have to pay local and US tax compared to an American who only pays US tax.

Re: YouTube tells foreign creators they will soon be charged American tax

#206

Post by MrRiddle »

tristanj wrote: post #85

This RT article is clickbait and spreading misinformation. The tax is on revenue generated from users in the US, not on all revenue. If creators provide no tax information at all, only then will YouTube tax all global revenue. And YouTube is not doing so by choice, they're a US headquartered company and forced to do this to comply with US tax law. RT is highlighting tweets that are spreading misinformation. For examp…

You went to great length to discredit RT but seems like they listed all the details. US double taxation laws are a joke, covering only 1/3 of the world.

How come they’re implementing this suddenly? They didn’t respect laws for years? It has nothing to do with the law.

Re: YouTube tells foreign creators they will soon be charged American tax

#207

Post by MrRiddle »

Aerroon wrote: post #197
ssijak wrote: post #129

Earlier quoted context omitted.

My country does not have double taxation treaty with US. So after Google takes its cut, then US with 30% cut, then my country with about 55% cut, plus other expenses it feels like there is no point in starting a youtube channel in 2021.

I was actually thinking about this in terms of Twitch subscriptions. If an American pays $5 to subscribe, then the creator could easily end up seeing less than $1.20 from it. First there's a ~20% VAT on it. $4 left. Twitch takes half of that - $2. The US takes another 0-24% from it. The local taxman takes another ~40%. You're roughly left with ~$1. Kind of depressing when you look at it like that.

It’s highway robbery.

Re: YouTube tells foreign creators they will soon be charged American tax

#208

Post by jgowdy »

martin8412 wrote: post #132
jgowdy wrote: post #124

Earlier quoted context omitted.

How is this not exactly the same as the EU putting targeted taxes on major US technology companies to stop money from leaving their market? Any time the US does something, the reaction is always strangely different than when other players like the EU do the same thing...

This is literally not even the remotely same thing.. The EU wants to tax companies earning money in the EU.. The US wants to tax people/companies in every other country around the world. The US is one of those few countries with insane tax legislation. As a US citizen, you won't have a good time moving anywhere, because almost nobody wants to deal with US citizens because of the batshit crazy tax laws.

The US wants to tax companies earning money in the US.

Re: YouTube tells foreign creators they will soon be charged American tax

#209

Post by graeme »

ricardobayes wrote: post #203
graeme wrote: post #21

Earlier quoted context omitted.

Depends on the tax treaty. With Canada and the US it is for example. So, the Canadian creator complaining should in theory be able to file a W-8BEN form with youtube showing Canadian beneficial ownership of the channel, and then the tax rate will be 0% due to the US Canada tax treaty. The creator will likely need an ITIN as well. Not a lawyer. Just have done this for royalties via amazon’s printing company. Amazon ot…

Why would they need an ITIN? They are not filing US taxes.

It would appear the process has changed since I did it. If you live in a country with a national tax id number, you can now use that. However, you can also elect to use an ITIN or EIN even though no US tax return is required.

“ If you are a non-U.S. publisher interested in claiming tax treaty benefits to reduce your withholding, you will have to provide a tax identification number (TIN). If you have a U.S. TIN (ITIN for individuals, EIN for non-individuals), you must provide it. If you do not have a U.S. TIN and the tax authority in your country of residence issues an income tax identification number, you may enter it to claim treaty benefits.”

https://www.savvynewcanadians.com/amazon-kindle-self-publish...

Re: YouTube tells foreign creators they will soon be charged American tax

#210

Post by jpambrun »

yoz-y wrote: post #40
mrweasel wrote: post #15

That seems like a potentially risky move from YouTube. Won't every other country now demand that they do the same for them? This is going to be extremely confusing for creators. I can't imagine anyone but the very largest YouTubers being able to handle getting taxed in multiple countries and figure out what exactly they need to pay at home. Actually, the large YouTubers may be better of simply demonetizing they video…

How is abiding to the U.S. law, where Google/YouTube is incorporated a "risky move"? It's not like there is a choice. https://support.google.com/youtube/thread/101463270?hl=en

It might be a surprise to you, but most of us aren't fond of being subjected to foreign laws.

Other gouvernement will take notice.

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