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Old 12-29-2006, 07:06 PM   #1
SpiffyTickler
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Default How does Clips4Sale work?

I'm curious about how the entire process of having a video store on Clips4Sale work. You sign up with them, upload some videos, and they get bought. Does Clips4Sale take out a percentage of the cash you make? Do you have to list the business on any tax forms, along with the income you make?

Basically what is required of you if you want to have a clip store on there.
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Old 12-29-2006, 08:28 PM   #2
The Last Laugh
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Clips4Sale/Videos4Sale takes 25% on each physical video sale (DVDs and videotapes) and a whopping 40% on each clip sale.

I personally declare the money I make with my little business, including the amount made through C4S/V4S. It's not a fortune by any means, but it's still enough that I wouldn't feel right not including it with the rest of my yearly income.
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Old 12-29-2006, 09:20 PM   #3
thelaughinggsas
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Quote Quote: Originally Posted by Francois A
Clips4Sale/Videos4Sale takes 25% on each physical video sale (DVDs and videotapes) and a whopping 40% on each clip sale.

I personally declare the money I make with my little business, including the amount made through C4S/V4S. It's not a fortune by any means, but it's still enough that I wouldn't feel right not including it with the rest of my yearly income.
Yes, clips4sale does take a good chunk of the profits, but they also create a comprehensive outlet and advertising program that most of us could not afford. So, it's basically a fair trade off.

Internet tax laws have been largely non existent until recent years. It's still
vague, but if you make your living online, you have to claim it. What the minimum is, I'm not sure. I do know that it has been slowly dwindling down
to the point that anyone but a mere hobbiest is required to file. This question largely started from ebay sellers and whether they needed to claim the nicknacks they sold on the side (particularly when it exceeded $400, the minimum for federal taxation on additional income).
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Old 12-29-2006, 09:24 PM   #4
cletus
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And as far as tax goes in the US anyway, let's say the first year it costs you 3000 dollars to get all the stuff, models, posting the clips, etc. and let's say that in the first year you only make 2500. You would report that as a short term capital loss on your taxes so as to not get taxed on the 2500. It would be advised that you should make your clips store an actual business by registering it with I think it's the state where you live. Then you can write-off the cost of a camcorder, model fees and all that jazz as legitimate business expenses.
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Old 12-29-2006, 09:43 PM   #5
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I think I'm starting to understand now. Laughinggas, pertaining to what you said about it being ones living online, what if it's more of a side thing and nowhere near a fullfledged video production company? For example, maybe me and a significant other just making a few videos with a consumer level camera and selling them for a little side money. Do you think that this would fall into the blurry area where I probably shouldnt worry about tax?
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Old 12-29-2006, 10:02 PM   #6
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Quote Quote: Originally Posted by SpiffyTickler
I think I'm starting to understand now. Laughinggas, pertaining to what you said about it being ones living online, what if it's more of a side thing and nowhere near a fullfledged video production company? For example, maybe me and a significant other just making a few videos with a consumer level camera and selling them for a little side money. Do you think that this would fall into the blurry area where I probably shouldnt worry about tax?
Well, for a question like this, you should really consult a tax accountant. However, if you want my advice, consider the most important question. How much do you make off these clips? If it doesn't exceed the maximum amount of additional income that does not have to be taxed, then you're fine. If it does, you need to claim it. It doesn't matter how cheap and "home made" your set up is. If the clips are raking in cash, you're going to have to pay taxes.
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Old 12-30-2006, 07:01 AM   #7
The Last Laugh
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Quote Quote: Originally Posted by thelaughinggsas
Yes, clips4sale does take a good chunk of the profits, but they also create a comprehensive outlet and advertising program that most of us could not afford. So, it's basically a fair trade off.
Oh, don't get me wrong, I agree with you. They do offer a lot in return: unlimited disk space and bandwidth use, a convenient, ready-to-use store template, a credit card billing system, mass exposure and excellent customer service. I do wish the fee weren't quite as steep, but otherwise I'm quite satisfied. I couldn't do online business without them.
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