On March 10, 2021, Google made an important announcement regarding tax declarations for Google Adsense accounts linked to YouTube earnings. This also includes an upgrade notice for Google Adsense Content accounts. In this article, we’ll guide you through the process of adding tax information to ensure compliance with Google’s tax regulations.
Understanding Google Adsense Tax Notice
Google’s policy update focuses on withholding and taxing income for YouTube content creators outside the United States. If you have viewers in the U.S., you are required to provide tax information, with a 30% tax deduction if declared before May 31, 2021. After this date, a default 24% tax applies to global earnings.
How to Add Google Adsense Tax Information
- Access your Adsense account and navigate to Payment/Settings/Manage settings.
- Select US tax information.
- Authenticate your account with your Adsense login password.
- Follow the steps to declare tax using form W-8BEN.
Form W-8BEN Declaration Steps:
- Step 1: Choose account type (Personal for individuals).
- Step 2: Confirm non-U.S. citizenship.
- Step 3: Declare tax using form W-8BEN.
- Step 4: Enter personal information, address, and choose tax agreement options.
- Step 5: Review and confirm the completed form.
- Step 6: Certify and submit the form.
Should You Declare US Tax on Adsense?
If your YouTube channel generates significant revenue from U.S. viewers, consider declaring tax to benefit from a 30% tax deduction. However, compliance is crucial to avoid future issues.
Ensure you add Google Adsense tax information to comply with the latest regulations, effective from June 2021. This process is essential for proper payment methods and tax deductions based on viewer locations. Stay informed and follow these steps to avoid disruptions to your Adsense payments.