Tax question

**rpoko** · 11-09-2004, 01:35 PM

If I sell a domain for , let's say $25,000, then buy another domain for $25,000, do I need to pay taxes on any profit from the first sale?

**GT Web** · 11-10-2004, 02:43 AM

no, because at the end of the day $25,000 is your income and $25,000 is your expenses

you only pay tax on profits...meaning if you profit is $0 than your tax is $0

**Garry Anderson** · 11-10-2004, 03:08 AM

GT Web> no, because at the end of the day $25,000 is your income and $25,000 is your expenses - you only pay tax on profits...meaning if you profit is $0 than your tax is $0

So when he sells other domain for $30,000 - he only pays tax on the $5,000 profit?

;-)

**Acro** · 11-10-2004, 09:27 AM

Originally Posted by Garry Anderson

GT Web> no, because at the end of the day $25,000 is your income and $25,000 is your expenses - you only pay tax on profits...meaning if you profit is $0 than your tax is $0

So when he sells other domain for $30,000 - he only pays tax on the $5,000 profit?

;-)

It's all Mathematics 101 :-D

**jberryhill** · 11-10-2004, 09:47 AM

Anyone needed a reliable answer on this topic absolutely needs to consult with a competent professional familiar with the laws of their own jurisdiction. Depending on the nature of one's business, there are several different ways for accounting domain costs, but there is not a one-size-fits-all answer to the question generally stated above, and certainly not one that is going to apply across borders.