It is important to remember that earning money on CAM4 does not mean you are a CAM4 employee, and you are responsible for taking care of your own taxes – here's a few tips to make sure you know what to do when tax time comes.
How Are You Categorized
As a performer, you are a business unto yourself – this is known as a sole proprietorship. This means that you are responsible for filing your own taxes according to the laws of your country.
Tax laws differ from country to country, but you are considered 'self-employed' or an 'independent contractor' no matter where you are.
It is important to keep track of how much money you cash out from in a year, so that you aren't surprised by the amount you owe at tax time!
How To File Your Taxes
To file your earnings from performing on cam you can use an online tax software compatible with your country (such as TurboTax in the US). These types of software make it very easy to follow the steps and get your taxes completed quickly and cheaply.
If you're worried about filing on your own, you can also go to an accountant to have them filed for you.
What You Need When Filing
When you're getting ready to file your taxes (at an accountant, or by yourself with software) you need to organize a few things:
A Record Of Your Earnings
Keep a record of all the money you've earned from CAM4 in the past year.
Note: This does not mean all the tokens you've been tipped, only the total amount of money you've cashed out from CAM4.
As a small business, you may wish to claim certain things that helped your business as tax write-offs!
Keep the receipts for your internet bill, toys you use on cam, clothes & makeup that help your shows – even a portion of your rent as an 'office'!
Make sure to do some research on what you are able to write off in your country.
~That’s all for this lesson!
Love, Your CAM4 Coaching TEAM