Just a quick heads up. The TrueBlue fetish store will be closing on April 30th. I'll be staying around on the forums (mostly lurking, as usual), and I don't particularly want to close my store, but the recent requirements for submission of tax documents has gone beyond where I want to be with respect to privacy. I was a little hesitant a couple of years ago about providing an address as custodian of records to be fully compliant with 18 USC 2257, but I did it. Submitting my social security number etc. just isn't something I'm comfortable doing. Hopefully I'll be able to get something up and running elsewhere soon, but if not, it's been great and thanks to everybody who's purchased a video over the past few years!
Isn't there something we can do about this? I must have hours of material I can't release because of this crap. I just had a shoot Saturday, as well as several more lined up, and I have no way to release the material.
I don't really want to start a flame thread about this, just wanted to give my reason for closing up. I'm sure Messmaster has his reasons for why he needs this stuff, just as I'm sure submitting the additional information won't be for everybody.
The law is quite clear. MM has been lax in not collecting tax info in the past. The biggest issue in privacy is the name of the payor is "Loverbuns LLC". Other sites have innocuous names like Intermark Productions, Illusions Inc. and so on.
MM can't pay you without a W9 or the form for a foreign vendor.
Legally, you are supposed to report income of any level without a 1099, and a 1099 is issued only for $600 and up. Practically, nobody reports unless they get a 1099 (and you better report if you get a 1099, the payor is filing that with IRS).
As long as you don't claim to be subject to backup withholding, MM won't withhold anything from the monies due.
If you don't want to furnish the tax info, don't sell. If you have $600+ in sales volume, form a Nevada or Delaware C corporation (or LLC) (if you're in the US). Such are exempt from income tax on the first $50K in profit. You'll need to pay a filing fee to form the corp. and you'll need a registered agent in the state. Every year you pay 'franchise tax' and the registered agent fee. Comes to about $200/year. Apply for an EIN (free) from IRS and supply that to MM et al. and your social security number is never disclosed because you don't have the money the corporation does.
Oh, you'll also need a corporate seal so you can certify company documents like opening a bank account.
If you aren't making $600, this isn't worth it.
Advantage of making a schedule C business on your SSAN is that you deduct all your expenses. For a few years you can generate a loss which is a tax deduction.
If you want no part of any of this, you must immediately close your store to avoid income.
I appreciate the explanation of the tax law, dhudson, but this sort of whack-a-doodle tax law insanity is partly why, as you put it, I want no part of this!
Love you, too
