This may be silly but I am new to gaining income over selling gold and I guess. This is taxable income but what is the risk? or what is the possible penalty? 

If Jagex finds out you sell gold? Probably a permanent ban considering how much every company that has an MMORPG absolutely hate real world trading. Friend got perm banned for it.

Well I understand that much but I mean lawfully. Claiming it as income??

Since you live in USA I think any amount you receive on PayPal over $20K USD is taxable.

Since you live in USA I think any amount you receive on PayPal over $20K USD is taxable.

 

If you can make $20K from botting, lol.

Since you live in USA I think any amount you receive on PayPal over $20K USD is taxable.

So since I wont be making over $20k I don't have to claim it and there will be nothing against me?

So since I wont be making over $20k I don't have to claim it and there will be nothing against me?

 

As far as I know, nope.

Do some research though

So since I wont be making over $20k I don't have to claim it and there will be nothing against me?

 

Correct.

Actually, anything over $400 must be claimed under self-employment, I don't know where they got $20k from (do you think people with minimum wage jobs don't file taxes?).

Actually, anything over $400 must be claimed under self-employment, I don't know where they got $20k from (do you think people with minimum wage jobs don't file taxes?).

Claiming income does not mean it's taxable.

 

Since you live in USA I think any amount you receive on PayPal over $20K USD is taxable.

This is only true (not sure if $20,000 is the right number) if you are receiving payments and most gold sellers and buyers send money via a gift on paypal.

Claiming income does not mean it's taxable.

 

This is only true (not sure if $20,000 is the right number) if you are receiving payments and most gold sellers and buyers send money via a gift on paypal.

 

All the gold sellers I've ever sold to don't.

All the gold sellers I've ever sold to don't.

 

all gold seller companys (ones with with websites) do not sell via gift like Arctic has said.

 

They sell through services/Goods. It's easier for them to win the case as they give evidence that they received their item and 9/10 the people will charge back as non delivered item not unauthorized.

Yeah i agree

So I guess does anyonem, who makes a decent amount off goldfarming, claim it as income?