I want to make money with subs, bits and donations on Twitch and wanted to ask how exactly I have to pay taxes on that. I know there's a tax allowance of around 8600 euro, but I have to state what I earn somewhere and where do I do it. Do I just file a tax return at the end of the year, or what? And if so, what has to go in there?
Register business
simple accounting for the trade
For businesses there's an attachment to your normal tax return
You register a business with the tax office on. The profit from the activity is then subject to income tax, together with any other income, for example as an employee. Accordingly, you have to submit an annual income tax declaration, as here, as with pure employees, income tax is automatically withheld and paid by the employer in the form of wage tax.
In addition, this should be taxable as a consideration. However, sales tax might not be charged due to the small business regulation.
In any case, you should discuss the details with a tax advisor, especially how the profit is calculated and how tax returns are prepared. He then also takes over the registration of the business with the questionnaire for tax registration.
