What is the taxation of income from online businesses?

@tess.kassulke 

The taxation of income from online businesses depends on the jurisdiction in which the business is registered and operates. However, there are some common principles that can be considered:

1. Income Tax: Online businesses are generally subject to income tax on their profits. The income tax rate will vary depending on the country and the specific tax laws applicable.
2. Value Added Tax (VAT)/Goods and Services Tax (GST): Many countries impose VAT or GST on the sale of goods or services. Online businesses may be required to register for and charge VAT/GST on their sales, depending on the country and their turnover threshold.
3. Withholding Tax: If an online business operates internationally and receives income from abroad, it may be subject to withholding tax on certain payments. This tax is usually deducted at source by the country where the payment is being made and can vary depending on the nature of the income and the tax treaty arrangements between countries.
4. Digital Tax: Some countries have introduced digital taxes specifically targeting online businesses. These taxes are often levied on the revenue generated from digital services and can differ in their approach and applicable thresholds.
5. Corporate Tax: Online businesses structured as corporations may be subject to corporate tax on their profits. The tax rate will vary depending on the country and the specific tax laws applicable.

It is crucial for online business owners to consult with tax experts or local tax authorities to understand and comply with the specific tax regulations and requirements in their jurisdiction.