The implications of passive income

[Johnson2468]

If you rent out properties and receive passive income, both the rental income and any additional income you receive are subject to taxation. Rent, interest, dividends, and capital gains are all included in this. You may, however, write off some costs related to the rental property, including as maintenance, property taxes, and repairs.

If you get royalties as a passive source of income, both the royalties' revenue and any other income are subject to taxation. Royalties from music, movies, literature, and other forms of intellectual property are included in this. But, you may write off some royalties-related costs, such advertising and promotion.

The tax implications of passive income can be complicated, so it is important to consult with a tax professional to make sure you are taking advantage of all the tax deductions available to you.

 

[Chibson]

I think it depends on the kind of passive income you create for yourself. If you're able to create passive income online you do not need to pay taxes. You can only do that if you have some properties offline.

 

[Suba]

Currently, a lot of passive income earned online, such as interest (coupons), bonds, dividends, capital gains from cryptocurrencies and stocks, will be taxed, which is deducted by the exchange, while income from renting out property will be taxed 10% of the gross value, and can be deducted. directly.

 

[Chibson]

I think that is in your country because in my country many passive income sources especially on the internet are not taxed. Cryptocurrencies for example is not taxed in this part of the world.

 

[nomad]

You might not realize taxes on passive income are either exempted or you have to pay very low. Active income has higher taxes compared to passive income. But then it also depends on country law.

 

[Starmix]

Passive income implies surety during old age or during times rough when health declines. It is from the passive income that could support your financial needs. So, it is better for everyone to build a passive income while still young.

 

[Chibson]

Passive income implies surety during old age or during times rough when health declines. It is from the passive income that could support your financial needs. So, it is better for everyone to build a passive income while still young.

Probably, trying very hard to build passive income when you're young is the best. It will make you to enjoy your old age.

 

[uptrendfinancialsignal]

Probably, trying very hard to build passive income when you're young is the best. It will make you to enjoy your old age.

It is true that creating a passive income from a young age is very instrumental to making success.

 

[cherry123]

The implications here is that you can get royalties as a passive source of income. If you are an artist you can get royalties from your work from music, movies, literature.

 

[jetsaints30]

The implications here is that you can get royalties as a passive source of income. If you are an artist you can get royalties from your work from music, movies, literature.

I think royalties are a great form of passive income for artists who create valuable and original work. But they are not easy to get or maintain you need to have a lot of talent, creativity and luck to produce something that people will love and pay for.

 

[Chibson]

It is true that creating a passive income from a young age is very instrumental to making success.

Definitely, it may not be easy but with a lot of hard work and consistency it is possible. You need to have knowledge also.

 

[cherry123]

Yesh royalties are a great form of passive income most especially for artists who create valuable and original work yesh you need a lot of talent, creativity etc to achieve this

 

[Chibson]

There are some music artistes that still receive royalties even for their songs that have been for long. some of them are dead and their families are still receiving it.

 

[Reedex]

The only implication of massive passive income is that it is going to generate income consistently.

 

[Chibson]

The only implication of massive passive income is that it is going to generate income consistently.

That means the implication is actually a big advantage. Passive income does not have any kind of negative in my own perspective.

 

[eldavis]

Though you have a point there but i do not think this applies to all means of earning passive income and also the country you are in might still play a role in this.

 

[Niyi Briggs]

Passive income gives you the leverage to plan your life around an income source that doesn't need your participation for you to earn. It frees you up and gives you time to pursue other income streams.

 

[Yohanna]

Generating passive income is a good idea and it's profitable as well.

 

[flower]

Generating passive income is a good idea and it's profitable as well.

It is very good to generate a passive income and make decent money for yourself.

 

[Chibson]

Passive income does not have applications instead it has advantages. The major advantage is that you can make money while you are asleep. You also do not need to stress yourself to make money.