Passive royalty income is generally treated as portfolio income and reported on Schedule E of an individual's Form 1040 tax return. This article reviews the steps to enter royalty income into TurboTax.
Online creators receive royalty income from advertisements run on their channels. This royalty income may consist of U.S. source income which is taxable when paid to nonresident creators. This article and video discusses those tax rules and the various forms.
YouTubers with monetized channels can generate advertising revenue in the form of royalty income. For U.S. source royalty income paid to nonresidents, those receipts may be subject to federal income taxes.
Content creators on YouTube and Twitch are compensated for running advertisements on their content. YouTube payouts are now characterized as royalty income rather than nonemployee compensation. This article discusses those changes.
