I am pretty sure you must pay Tax for your earnings, even online. How do you pay it? When do you pay it? If your account is verified, does the income count towards the bank account hooked up to the paypal account? Have you had to pay tax? What if you earned 10 grand lets say, and you bought a computer on ebay for a grand, can you just say you only earned 9 grand, or will the tax office, know you earned 10 grand? Does Paypal have the right to remove money and just give it to the Tax man? No idea about TAX and paypal, any info will help. Thanks in advance.