Online affiliate business

gamblerie

I am going to register with several poker sites and gambling sites as an affiliate. All the money I make (if I make any) will be from referring people on from my website to these poker/bookmaker sites.

I live in Ireland but as this business has no physical presence in Ireland and has absolutely nothing to do with Ireland as an entity do I have any tax obligations? Do the Irish government have any juristiction over a completely online business like this? Why would I even register it as a business in Ireland in the first place? I have hosting for my website in Ireland but I can easily move that to another country if that is a factor, but is it even a factor?

The Apprentice

Well it really boils down to what you earn ..

I dont really care for accountants that say and other people that state all money earned online must be taxed.. I live in the real world and if you can stay under the radar doing this i would advise it...
I will wait for a moderator to ultimately edit this post about me giving advise on making money online.
Clearly it is not legal advice, nor qualified financial advice, but in my humble opinion some sound common sense advice.

I would base my opinions on how much money you would earn a calender year, also the facts you can get offshore hosting even cheaper that Irish hosting, even with someone "telling tales" there is not much the irish government can do.

nompere

With very few exceptions - and I'm not going to get into a technical discussion on domicile or double taxation treaties - an Irish resident is liable to Irish income tax on all his or her income, no matter where it is earned. Failing to return that income and pay the proper tax is tax evasion, and is a criminal offence. Weasel words like "staying under the radar" don't change that.

smcgiff

Nompere is correct - what are you going to do with the money you earn? Deposit it in an Irish bank account?


At the risk of sounding like a prude - I'm all for tax avoidance, but don't agree with tax evasion.

The Apprentice

So those are weasel words now.. hmmm righto chief.
I better ask the taxman about my car boot sale stall that made €33 euro last sunday so before i end up in the ****s.
In an island such as hours there is always black economy money its a part and parcel of the country.
U can tax that money if u wish, i know someone personally that went further about this and was laughed out of the building. Here look "we have more pressing matters to attend 2"


Well .. its a public forum with advice, you have both sides of the coin, its a black or white situation. Pay tax or not .. your choice !

gamblerie

nompere wrote: »

With very few exceptions - and I'm not going to get into a technical discussion on domicile or double taxation treaties - an Irish resident is liable to Irish income tax on all his or her income, no matter where it is earned. Failing to return that income and pay the proper tax is tax evasion, and is a criminal offence. Weasel words like "staying under the radar" don't change that.

So all the Irish who emigrated over the last three years technically should be sending money back from Australia/Canada/etc to the Irish government?

Lots of businesses register their company overseas from what I can see, a huge % of online gambling businesses are registered in places like the Isle of Man, Costa Rica or Malta. And these are business owned by Americans, British, etc...who have nothing to do with the places they register their business. We all know U2 moved a big portion of their operation to Holland a few years ago. So from what I can see, where you live has absolutely no bearing, particularly when it comes to online businesses, on where you register your company (if you register it at all) and the Irish government has no juristiction over me if I go ahead and set up an online affiliate business.

Im not asking about the moral issues of not declaring this potential business, Im asking about the legal issues. Does anyone know for certain if the government would have zero juristiction over this?

srsly78

You are confused between your personal tax and your companies tax. You live in Ireland (for the last 183 days I presume), therefore you are tax resident in Ireland. You pay income tax on all your income. Somehow this money is going to show up in your bank account and you will need to account for it.

"as this business has no physical presence in Ireland": Do you mean YOUR business? Or do you mean someone elses business? If it belongs to someone else then their tax affairs don't concern you. If it's your business then it pays tax wherever it declares it's profits, probably 0 because you will make no profit and put all money towards your salary (minus expenses naturally).

Pretty clear-cut. You aren't dealing with cash, so you won't be able to "stay under the radar". Bertie may have gotten away with the old "oh I won it on the horses", but you won't. Pretty crazy that you think that money earned from online business should be treated differently from other income

The Apprentice

you could set up a company in the isle of guernsey for under €200 euro and reap the rewards. I have seen companies online that do this .. i cant say for certain but google bro.

Earning money in american that paid tax, or didnt pay tax and you transferred it to your irish bank account ?? Im pretty sure if you paid tax on it already you wouldnt have to pay it again.

antoinolachtnai

Companies that set up like this in Guernsey or IoM are retaining their profits in that territory. If a shareholder is outside Guernsey and repatriates profits, he is liable for tax. You will similarly be liable to Irish tax on your income as long as you remain resident in Ireland.

The Apprentice

antoinolachtnai wrote: »

Companies that set up like this in Guernsey or IoM are retaining their profits in that territory. If a shareholder is outside Guernsey and repatriates profits, he is liable for tax. You will similarly be liable to Irish tax on your income as long as you remain resident in Ireland.

Hmm some great advice there.. my idea is on a vicious downward spiral.
Im thinking you might reinvest in the business of that territory until the day comes that u can pay relevent taxes etc that might sustain you in the economy we have. Could be a delay tactic to keep the "tax" wolves from the door..

antoinolachtnai

Legitimately reinvesting profits outside the tax net is a fabulous idea, but what are you going to live on in the meantime?

yutta

gamblerie wrote: »

Im not asking about the moral issues of not declaring this potential business, Im asking about the legal issues. Does anyone know for certain if the government would have zero juristiction over this?

Don't expect to get advice on tax evasion here pal.

The Apprentice

gamblerie wrote: »

I am going to register with several poker sites and gambling sites as an affiliate. All the money I make (if I make any)

Ye although a bit vaguish antonio i dont think he has hit the big time just yet, he's getting a foot in the door so to speak but great point. There aint much tax to evade.

smcgiff

The Apprentice wrote: »

Earning money in american that paid tax, or didnt pay tax and you transferred it to your irish bank account ?? Im pretty sure if you paid tax on it already you wouldnt have to pay it again.

nompere covered this

smcgiff

The Apprentice wrote: »

Ye although a bit vaguish antonio i dont think he has hit the big time just yet, he's getting a foot in the door so to speak but great point. There aint much tax to evade.

All the more reason to stay legit

The Apprentice

Smcsmiff .. scrutinizing everything i say is starting to get a little annoying, Trolling ??

I earned 86 cent from one of my clicks, do you suggest i pay tax on this ? You dont know how much (if any) that he,s making !!
Its not a black or white right or wrong issue. Its grey

If he earns €40 a month do you suggest he pays tax ?

srsly78

Of course you should pay tax on your income. Why wouldn't you?

Your tax-free allowance/ tax credits etc do apply, as with any income.

The Apprentice

This forum at times is actually laughable !!!!!

I might take a step back for my own sanity and the care of my laptop screen.

srsly78

You seem to be confused between "paying tax" and "declaring income". Of course you don't pay tax if there is none to pay. But you must declare your income.

Axwell

The Apprentice wrote: »

This forum at times is actually laughable !!!!!

I might take a step back for my own sanity and the care of my laptop screen.

Keep up with the attitude and giving people advice suggesting they avoid paying tax and it wont be an issue for you because you will be banned anyways.

Do not suggest for any reason that someone avoid paying tax whether they are earning a little or a lot. The fact is legally they are meant to pay it, whether a black economy exists or not. OP if you are starting a business you should be looking to do it right and legally from day one otherwise it could come back to bite you in the ass down the line - end of.