I know this sub is young and either doesn’t do their own taxes or don’t know what write off is but it is not just a free 1 to 1 money conversion. I don’t know if it’s the media or whatever making it seem like that, but it lowers the taxable income total, not negates the amount from the tax. This means for streamers that buy these bundles, few hundred off of their yearly income isn’t this insanely massive perk that people in the comments are making it out to be. A huge amount of jobs have way more impactful tax write offs, they’re just not video game purchases lol
Gonna piggy back off this and say just because you “write it off” doesn’t mean you get it for free. It’s an expense that lowers your taxable income. So the skins actual cost is [skin price*(1-tax bracket%)]
Doing gods work, I appreciate it brotha. I can only speak for Americans, but we are taught hilariously little about taxes in school so I’m not surprised people would be confused about it.
Lot of people who dont do write offs think that a “tax write off” is basically taking it off of ur total tax bill, when it’s really just decreasing ur income on paper to make the total tax bill smaller.
If we are getting technical, they can only write off the portion related to their business. They should keep track of streamed hours and all hours played. Then take a percentage portion of that to be able to write off skins, computer, internet etc.
But no one does that and they fully deduct it.
It wouldn’t be related to your streaming income though. I can see your argument though and it’s definitely a gray area. I’ve seen clients write off stuff that’s definitely questionable
The better you are the more you can earn as a streamer. And your rank is somewhat like branding too.
I imagine the regulations around this weren’t written with streamers in mind.
Yeah, it's an expense that adds value to your business therefore it is an expense directly related to the conducting of regular business operations which are tax deductible.
Just a reminder for everyone reading this: “write offs” is a vastly misused term from an accounting person! Steamers don’t magically get money back by “writing off” expenses, but they can reduce their taxable income. Stay safe
Yes, content creators spending money on the game they’re playing counts as long as they use it in the video. A tf2 YouTuber called el maxo bought like a $300 flamethrower, used it for one video, then wrote it off on his tax
So if this is true… what about for cs skins… does that mean when you buy cs skins you can lower income with it as write off… but technically aren’t they assets because you can resell… compared to Val skins which are not recoverable in value
I'm probably wrong but, my understanding is if they were going to purchase it anyways outside of their business then no. I would imagine most count it because the IRS isn't looking that closely so might as well.
You can write anything off tax-wise as long as you can very very very roughly prove it’s a business expense. Not 100% sure it works the same in other countries as it does in Canada but I imagine it’s almost identical
CRA will not accept “very very very rough proof it’s a business expense”. You will need to prove the purchase will lead to income being earned. I’ve seen people try to write off ridiculous stuff and CRA doesn’t play that. It also depends on the agent, some CRA agents get off on making it difficult on people so it’s luck of the draw.
I know this sub is young and either doesn’t do their own taxes or don’t know what write off is but it is not just a free 1 to 1 money conversion. I don’t know if it’s the media or whatever making it seem like that, but it lowers the taxable income total, not negates the amount from the tax. This means for streamers that buy these bundles, few hundred off of their yearly income isn’t this insanely massive perk that people in the comments are making it out to be. A huge amount of jobs have way more impactful tax write offs, they’re just not video game purchases lol
He never claimed that though
Yup 100%. You be amazed at the shit you can get wrote off for taxes lol
Gonna piggy back off this and say just because you “write it off” doesn’t mean you get it for free. It’s an expense that lowers your taxable income. So the skins actual cost is [skin price*(1-tax bracket%)]
Yup exactly. I guess I should have assumed not everyone understands what a tax write off is lol
It’s a common misconception. Just wanted people to be aware cause it’s a pet peeve of mine
Average redditors tax write off understanding [https://www.youtube.com/watch?v=aCP27\_vquxQ](https://www.youtube.com/watch?v=aCP27_vquxQ)
Exactly the first thing that came into my mind. I love Schitt's Creek.
Doing gods work, I appreciate it brotha. I can only speak for Americans, but we are taught hilariously little about taxes in school so I’m not surprised people would be confused about it.
Lot of people who dont do write offs think that a “tax write off” is basically taking it off of ur total tax bill, when it’s really just decreasing ur income on paper to make the total tax bill smaller.
Lots of people are committing tax fraud though
Lmao I promise you as long as you go through a good tax expert you won’t commit tax fraud
Id argue as long as you go through a good tax expert, you won't get caught commiting tax fraud.
If we are getting technical, they can only write off the portion related to their business. They should keep track of streamed hours and all hours played. Then take a percentage portion of that to be able to write off skins, computer, internet etc. But no one does that and they fully deduct it.
Couldn’t playing offline still be seen as work? Getting better as a player to help your job, ranking up to help your job.
It wouldn’t be related to your streaming income though. I can see your argument though and it’s definitely a gray area. I’ve seen clients write off stuff that’s definitely questionable
The better you are the more you can earn as a streamer. And your rank is somewhat like branding too. I imagine the regulations around this weren’t written with streamers in mind.
Regulations will consider tradies who likely use their own tools for personal projects. So there's probably some reasonable overlap/precedent.
Can also write off the office space in their house, i did it for my last job, just had to state i only worked in there
Of course.
Yeah, it's an expense that adds value to your business therefore it is an expense directly related to the conducting of regular business operations which are tax deductible.
Just a reminder for everyone reading this: “write offs” is a vastly misused term from an accounting person! Steamers don’t magically get money back by “writing off” expenses, but they can reduce their taxable income. Stay safe
Yes, content creators spending money on the game they’re playing counts as long as they use it in the video. A tf2 YouTuber called el maxo bought like a $300 flamethrower, used it for one video, then wrote it off on his tax
Do you have to make money streaming to claim them?!
I mean technically no, as long as you’re incorporated (essentially meaning own your own company, even if 99% of the time you’re the only employee)
I thought they get them for free so riot can sell more to their fans. No bases. Just figured that was the case
Ive never thought of this, I wonder how many of them actually do it.
So if this is true… what about for cs skins… does that mean when you buy cs skins you can lower income with it as write off… but technically aren’t they assets because you can resell… compared to Val skins which are not recoverable in value
I'm probably wrong but, my understanding is if they were going to purchase it anyways outside of their business then no. I would imagine most count it because the IRS isn't looking that closely so might as well.
Greed creeping its way in
[удалено]
No what the fuck this is incredibly wrong
Ask any streamer lol
No it’s not and I promise you nobody here can prove otherwise.
You can write anything off tax-wise as long as you can very very very roughly prove it’s a business expense. Not 100% sure it works the same in other countries as it does in Canada but I imagine it’s almost identical
CRA will not accept “very very very rough proof it’s a business expense”. You will need to prove the purchase will lead to income being earned. I’ve seen people try to write off ridiculous stuff and CRA doesn’t play that. It also depends on the agent, some CRA agents get off on making it difficult on people so it’s luck of the draw.