I'm currently running a rather small online service with about 100-200 active users. In the past I paid all expenses, mainly the servers, myself. Now that the service reached this number of users, I would like to upgrade the backend but am lacking the financial resources to do so. Several users asked if they would be able to send me money to pay for the hosting. In the past I always rejected but it would of course be nice to have support.
I'm sure this sounds familiar on this site. I've searched through various other questions and websites but could neither find a answer suited to germany or the small amounts I'm going to deal with.
I do expect monthly payments to be about 10-20€ which is enough at the moment.
However, I am very unsure about the tax regulations and other possible factors that I missed. I am willing to pay tax, I'm just not sure how.
At the moment I think that I will just have to declare the amounts on my tax paperwork.
- Is this correct at all?
- Is this valid in Germany aswell?
- Do I have to inform my employer of this?
- Will I be able to deduct VAT/MwSt from my payments to the hosting service?