alex sysoef
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Blogging Taxes Are Here

I guess something like this was just a matter of time and something we can expect others to implement, UNLESS it is stopped by making it public knowledge:

City Of Philadelphia Demands $300 Tax From Each Blogger

…just for the privilege to write! If this is not a direct assault on Freedom Of Speech – I don’t know what is! Yes, granted they didn’t tell bloggers to stop writing but knowing the statistics on income average bloggers generates – $300 tax a year in addition to all other taxes imposed on bloggers will effectively silence them!

Consider this…

According to 2009 State Of Blogosphere

72% of respondents are classified as Hobbyists, meaning that they report no income related to blogging.

That means 3/4 of the bloggers from Philadelphia use blogs as a hobby, personal journal where they share their opinion! Opinion that City Of Philadelphia obviously doesn’t want to be heard!

Image is from technorati:

Blog Income

But it gets even worse – because according to the stats provided by Technorati‘s report – ONLY 17% of the bloggers who do it professionally derive their primary income from the blogs!

That is 17% of the 28% of the total number of people taking part in survey!

I know many bloggers who struggle and those who succeed and I can tell first hand that paying $300 plus all additional draconian taxes that city have chosen to impose of them will kill the very Freedom Of Speech guaranteed to us by U.S. Constitution!

Not by prohibiting it but by Taxing It!

It appears our freedoms are up for grabs by unscrupulous politicians to cover their frivolous expenses!

Is Your City Next to Tax You?

Spread the word and let it be known to prevent this from happening!

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About The Blog Author

Alex Sysoef is an IT Consultant, Internet Marketer and ProBlogger who shares his passion and knowledge of WordPress, SEO, Social Media and traffic strategies on his blog WordPress Howto Spotter. Connect on Twitter or Facebook

39 Responses to “Blogging Taxes Are Here”

  1. Anthony says:

    Alex,

    That REALLY sucks! So much for freedom of speech! Whatever next, banner tax? ebook tax? staying at home in your pajamas tax?

    Oh boy…

    • TheSpotter says:

      Yeah, I was outraged when I read it. I don’t think those bureaucrats who are just looking to grab as much as they can realized what they started – news is spreading quickly on the web and this one tax that simply MUST be reversed, to avoid some other idiots following the lead.

  2. Peter J says:

    Philadelphia, talk about freedom of speech. Blogging is all about giving people the ability to write especially when they don’t have the options or availability to do so. Taxes just defeats the whole point. What will they do next, tax you for owning your own website.
    Peter J recently posted..Design an impressive twitter background in 10 quick stepsMy Profile

  3. kathy says:

    That would definitely take the fun out of it all right. The amount of money I have made online would sure not justify paying $300 if fees were to go widespread. I’m sure there are a lot of people in the same situation.

    I live in Canada and just retweeted a post a week ago where a group is fighting for free access to the internet, saying internet access should be a right everyone has, I like that option the best, lol

  4. Alan Mater says:

    Wow… that’s a really hard blow by the politicians. I’d really like to know what these people are thinking, or not thinking! Hopefully this madness is stopped before it spreads.
    Alan Mater recently posted..AshMax – The Perfect Work From Home OpportunityMy Profile

  5. Dennis Edell says:

    And how do they know who blogs??
    Dennis Edell recently posted..Twitter Weekend part1 – Now Would be a Good Time to Follow MeMy Profile

    • TheSpotter says:

      Dennis,

      I think I will rename this post to “Philly Bloggers Are Whining About Taxes”. While I’m no tax expert and hate paying taxes – my blog is part of my business and one of the holdings of Alyans LLC, for which I pay business license fee, taxes, etc. But I also use it to claim deductions, which in my case are considerable and justifiable.

      Original Article was posted with editor removing one IMPORTANT line that answered your question:

      This is my bad. In the course of cutting the story to fit the page, I removed a line that had the answer: Basically, as I understand it, the city is sent letters to people who reported their earnings, no matter how meager, as income to the IRS, which the people mentioned in the story did.

      You can read more details on it here: http://citypaper.net/blogs/clog/2010/08/25/the-citys-response-to-pay-up/

      So, the way I see it – some bloggers decided to claim their blog hosting fee, computer, etc. as EXPENSE on taxes but failed to realize that once you claim blog as business that has expenses – you also become responsible for licenses and taxes that comes in your area.

      Once again – I hate taxes of any kind but as a business owner I take it all as part of doing business. This is my take on it and I just wish that editor would have released that info before I posted my own article.

      • Dennis Edell says:

        Ah OK that makes a lot more sense. And you’re right, as BS as it is, I suppose if you wanna claim expenses, you might have to put up with whatever pops up on the other side.
        Dennis Edell recently posted..Twitter Weekend part1 – Now Would be a Good Time to Follow MeMy Profile

        • TheSpotter says:

          Yep, I still think it is a draconian tax and there has to be something separate about it as individual running a blog that doesn’t bring profits enough to even cover expenses is still in predicament of paying way more then earning. Perhaps the can claim that tax as Business Loss next year :-D

      • Alan Mater says:

        That makes a lot more sense. People need to realize that if they’re going to consider their blog as a business and make money off of it, then they have the right to be taxed. This is especially true when they’re claiming expenses. How could you claim expenses yet not expect to be taxed? That doesn’t make sense.

        I’ve been claiming my earnings since I can remember, no matter how small, and also reporting expenses I’ve incurred as part of doing business (blogging). I expect to be taxed on my earnings. I would be shocked otherwise.
        Alan Mater recently posted..What are Backlinks- and Why Do I Need ThemMy Profile

  6. Steve Dresel says:

    This is amazing. Hopefully we have not entered a new cost filled blogging age. The more bloggers know about this the better, otherwise it will only snowball. Next they’ll be taxing us on what we say in public parks…hello constitution.

  7. Chloe says:

    Is it even enforceable – i.e. not hosted in the same State, variable IP address? Posting could be done behind proxy. If others went down the same route it could really stem the tide of geo-targeted social tools!
    Chloe recently posted..Managing ranking information- Advanced Web Ranking reviewMy Profile

  8. Buck says:

    Come on, people, Blogging is not being taxed. The woman is has a “Business” and is blogging for money. She was CAUGHT because she either reported the INCOME or tried to deduct here EXPENSES!

    In her city if you conduct BUSINESS to get INCOME, you are required to have a BUSINESS LICENSE. She made an INCOME (~$50) so the city wants its LICENSE FEE.

    Bloggers who do NOT have ads, or other income producing links on their sites, DO NOT NEED a LICENSE!

    Quit getting riled up over some LOSER who has to LIE to you to get your ATTENTION so that THE LOSER gets and INCOME to their BUSINESS because you FELL FOR THEIR LIE!
    Buck recently posted..In-Text- Internal Page LinksMy Profile

    • TheSpotter says:

      Buck,

      Please see my conversation with Dennis. Problem was – original article that reported it failed (on purpose or not) failed to mention that most important aspect. They choose to exclude HOW people were found. My initial reaction was outrage, which is when article was written.

  9. Vince
    Twitter:
    says:

    This is totally outrageous. Not all bloggers earn a decent income. There are only a few. I will never desire to live in the US if I am a blogger then. This law totally sucks… its outrageous.

    • TheSpotter says:

      Vince, I apologize for misleading article, I was misled by author of original article – they failed to mention how those bloggers were discovered. It make a HUGE difference as they didn’t just blanked taxed people but rather sent to people who have choose to claim their blogs as business expenses – once they did it – they have to play both ends of business: along with deductions in US always come business expenses.

      I pay my taxes and don’t see anything wrong with it – but my blog is major part of my income stream.

  10. David Walsh says:

    It’s funny how the government, on whatever level, is looking to drain the last penny out of almost anyone.

    Yeah, it was only a matter of time before there was some “internet tax” or some description, but this is a bit sad!

    Philly is a great city, but it definitely doesn’t make me want to live there now… Let’s hope that other city and/or states don’t follow suit…

    David

    David Walsh recently posted..Has Your Client Got An Irresistible Product Launch OfferMy Profile

  11. LoneWolf says:

    Well, if it moves tax it. If it doesn’t move tax it. That seems to be the motto of government. Rather than look for ways to support the citizens, businesses, economies, etc. the governments seek to find ways to fund themselves.

    One thing that might be an issue is how do they prove that the blog is actually located in their jurisdiction. The blogger may be, but is the blog itself? Also, is this a tax or a business license? If the latter, then how do they prove that they are operating a business?

    However, most bloggers wouldn’t be able to afford the legal battles to fight that. Hopefully there will be enough public outcry that this won’t catch on. I’m not holding my breath though.

  12. Phil says:

    Utterly outrageous, they will never be able to justify such a tax, hope it doesn't catch on!
    Phil recently posted..Convert SQL boolean to string valueMy Profile

  13. Benin says:

    Very interesting. I guess as one of your visitors mentioned if you’re earning income from your blog, then you’re therefore a commercial concern and should have a license.

    Lonewolf, you raise a good point. Because sometimes the IP address alone doesn’t tell the full picture. The jurisdiction issue could become very big if municipalities across the country by and large decided to pursue similar tactics. I am guessing they would probably still use IP addresses or the contact page to determine location.

    But since such a small number of bloggers earn income this might not affect as many bloggers as we’re thinking.
    Benin recently posted..3 Things You Should Know Before Migrating Your Offline Business Online-VideoMy Profile

    • TheSpotter says:

      Its not the location of hosting you have – it is your business location that matters. If you claim blogging as business while living in Philly, you get the pleasure of paying their taxes. Period.

  14. I guess they’re using a technique they learned some time ago. They couldn’t get Al Pacino with evidence of his various crimes. They got him with tax evasion. Now, they want to silence bloggers. They couldn’t put them out with any violation as there never was any violation committed. This tax idea would surely do it. The government’s brain is so intelligent, it’s growing horns.
    James Moralde recently posted..Automatic Photo Scanner PicksMy Profile

  15. Jason says:

    @Peggy Thats a really good point. Especially if a blogger is causing trouble for them and is has not paid…it would give them a legal, unconstitutional, way to shut them down.

    I wouldn’t pay it, let them come after me, I will be more than happy to list the ACLJ or ACLU to fight them.
    Jason recently posted..Four Tips to Keep Your Web Design Clients Happy and Coming Back for MoreMy Profile

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  1. RT @TheSpotter: Blogging Taxes Are Here: … http://ping.fm/ULbtu Not something I want to see

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