Tax on adsense from website

Hi,

I was wondering could someone help. I am going to make about $1000 this year on adsense. Now i just put the ads on my site to see would i make any money from it, never thought i would get anything.

I am not setup as a company, only income from site is about $1000 and i was wondering can i reinvest this money to grow the site even more, without having to pay tax on it.

The site has great potential, but i fear owing the tax man. I would like to put money in adsense advertising myself as well as directory listings and a small bit of SEO.

I do not want to take money from the site but to use this money to grow the site. Is this possible without having to go through a ton of tax issues.

Kind Regards
Fred.

fred123456 said:

... only income from site is about $1000 ...

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Just noticed your post is in $ amounts. Do you realise that this is an Irish site?

thanks for the reply, sorry should of converted to euro, adsense uses $

thanks for the reply, sorry should of converted to euro, adsense uses $ and most of my transactions for advertising would be in $.

fred123456 said:

I am not setup as a company, only income from site is about $1000 and i was wondering can i reinvest this money to grow the site even more, without having to pay tax on it.

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Unfortunately the answer is no. You need to complete a form 12 in order to declare this income and any allowable expenses.