Handmade FL Tax Products?

Handmade FL Tax Products?

 

Question:

Hello!

I have a shop for handmade products at Etsy.com. I do not sell in Bulgaria at all. Customers are individuals primarily from the United States. Can I pay my taxes as an individual and how much money I get from Etsy.com during the year?

Thanks!

 

Answer:

Hello,

In any case, the money you will receive from Etsy.com will be recorded as a business income of an individual. When you file them in the Annual Tax Return for these revenues, you will owe 10% income tax. The taxable amount of 10% tax may be reduced by the value of the goods you sell. But for this purpose, you will need to have documents that can be used to prove, at a possible check, how much you are selling. You should keep in mind that if your sales revenue exceeds the amount of BGN 50,000 for the last 12 months, you are required to register for VAT, even if you are a natural person and not a legal entity.

A better option would be to choose a form of business activity - to register as a freelancer (for example, designer of handmade products), or to register an EOOD and through such form more regulated to carry out your business.

We hope we have been helpful.

Greetings!