Inkygirl: Daily Diversions For Writers

Click above image for a bigger version. Will Write For Chocolate has been updated.

I know you’re all DYING to know what happened with Ernie, the goldfish I was babysitting for a neighbour. He survived intact, and even inspired the drawing above (Ernie actually swims upside-down, but I opted for a rightside-up goldfish). I have a houseguest and will also be away at a conference this weekend, so no updates until next week.

Meanwhile, do go visit WOW! Women On Writing. Lots of useful info here, including market information. WOW! interviewed me recently for an upcoming issue and I have to say, it’s the most fun I’ve ever had doing an interview.

Have a great weekend, everyone.

Will Write For Chocolate has been updated; click above image for a bigger version.

It’s nearly that time of year again, oh joy…

Here’s my annual updated list of useful tax resources for freelance writers. Sadly (for me, anyway, since I live in Canada), most of the info is specific to the U.S., but I did manage to find some info specific to Canada and other countries, listed below in the “international tax info” section partway down this list.

I was unable to find ANY tax-related resources of use to writers outside of North America. Suggestions welcome! Please post anything I’ve missed in the comments section at the bottom of this page, thanks.

Tax Time Tips For Freelancers by Noah Davis. Published yesterday in Mediabistro.com.

Handling Writing Income and Expenses by Moira Allen. Excellent guide on record-keeping and tax preparation for writers.

Tips For Freelance Writers: Filing Taxes by Katharine Swan. Posted last year, so the info is likely more up-to-date than many other articles I found.

June Walker’s tax-related articles and tips for the self-employed: Addresses topics like business expenses, office-in-the-home expenses, and travel expenses.

Tax Deductions For Freelance Writers by Amy Derby. A brief outline of legitimate business expenses.

Freelance Tax FAQ from “Anti 9 to 6 Guide: Practical career advice for women who think outside the cube.” Post is dated Oct. 27, 2006 and answers questions like “I work from home as a freelancer. Can I deduct a portion of my rent?” “Can I deduct my computer and printer?” “Can I deduct my Internet service if I use it for work?” “Do reimbursements for expenses incurred on my client projects count as taxable income?” “Is 30 percent of my income a fair estimate of what I can expect to pay in taxes?” “Do you think there is anything else I should know about paying taxes as a freelancer?”

Tax Tips For Freelance Writers by Julian Block. Six tax-related articles from Freelance Factor.

Writer’s Pocket Tax Guide: by Darlene A. Cypser, Esq. Updated for 2007. $10.

Authors and the Internal Revenue Code by Linda Lewis. Lewis litigates cases before the United States Tax Court, representing the Commissioner of Internal Revenue.

Taxes and the Writer by Daniel Steven. Part of the Publishlawyer.com site. “As a writer, you’ve chosen to be a creative person. Writing, however, is a business. Whether you’re a freelancer with your first sale, or an experienced author with a multi-book contract, it is worth understanding basic tax principles and rules.”

Taxes and Freelance Writers-What To Do by Jessica Mousseau. Published Nov. 28, 2006. Includes tips on record-keeping.

Taxes For Writers by Cyn Mason. Includes a fascinating section called “Rules That Apply To Authors, An Historical Perspective.”

Writer’s Guide To Taxes: by Linda Adams and Emory Hackman. “You’ve made your first writing sale. Now what? Part of the job of being a writer is reporting that income to the IRS. What do you need to know?”

Click Here! Tax Help For Writers by Therese Walsh. List of useful resources for writers.

Canadian and Overseas Taxes

Ask-an-Expert: Deductible Expenses has Canadian tax experts answer the question: “I’m a full time freelance writer, and author of 6 books. I cannot find an accountant who can tell me what can I deduct from my home office? Beside the rent and telephone what else can I deduct from my taxes?”

Canadian tax: business expenses is a list of legitimate business expenses, listed on the Canada Revenue Agency’s site.

Help! What Taxes Must I Pay?: Canadian focus. General tax-paying guide.

Income Tax Guide for Writers (2002) $9.00
“A useful tax guide for those in the business of writing, including details about the GST as it pertains to writers’ income.” See The Writers’ Union of Canada’s list of publications.

Taxes for the Writer Abroad by Nancy Arrowsmith. Part of Writing-World.com. Tips on how to avoid double taxation and how to avoid paying taxes in Europe.

And here are some related resources:

General tax info for the self-employed

Best Advice On How To Avoid An IRS Audit by Jack Oceano. “Home-office deductions are one example of a red flag.”

Taxes and Freelancing by William Perez.

Mixing Personal and Business Expenses In A Freelance Business by William Perez.

Somewhat outdated but still has useful info

Tax Tips For Writers by Daniel Steven.

A Little Tax Advice For Writers by Mary Anne Mohanraj.

Tax Tips For Writers by Teresa V.M. Stone. A PDF file from the Winter-Spring 2001 issue of the Windy City Romance Writers newsletters.

From the Inkygirl cartoon archives:

A while back I posted about About.com as a venue for freelance writers, wondering about what rights they’re asking for and expressing doubt about the commitment in light of the pay offered.

Someone claiming to be an About.com guide posted in response: “I am an About guide who makes about $60,000 a year and some guides make much more than do. I think your impressions of About are wrong. Maybe this page will help.” The person who posted did not include an e-mail address. I asked them to e-mail me privately so I could verify that they were indeed a Guide and also to ask them some questions. They never wrote me.

However, another About.com guide kindly agreed to be interviewed (I approached him) but asked to be kept anonymous. This person finds the pay fair, and says that many of the Guides make upward of $1500 a month. He puts in about 20-30 hours a month (”I try to spend an hour each day, though I haven’t really been working on weekends.”)

According to the current Guide contract, Guides can re-sell their content elsewhere as long as they pay About.com 50% of the profits. The company can use Guide content elsewhere and outside of About.com, but promises to pay the Guide 50% of any direct revenue earned this way. I’d be curious to know what they mean by “direct”…does this mean Guide content can be posted somewhere else without permission of the author? In another site that may not necessarily generate direct revenue?

So far, however, the Guide I interviewed says the experience has definitely been worth it. Thanks to his Guide job, he has been able to get other professional blogging jobs for well-known companies, and he has “absolutely no complaints.” He also points out that many people have been exposed to his writing. “This has clearly been a great career move.”

I did some research online, and found this Guide contract online, but it’s clearly Work-For-Hire; I haven’t seen a copy of the current Guide contract so I’m not sure how much this has changed. Those unfamiliar with copyright terms should read this excellent article by Moira Allen. Here’s part of what she says about ‘Work for Hire’:

“When you sign a ‘work-for-hire’ agreement, you lose all rights to your work, including your copyright. If a publication chooses to run that work without your byline (or under another byline), it has the right to do so. The publication also has the right to edit, alter, reprint, or resell your material. Most alarmingly, you may even be liable for copyright infringement if you write another article that closely resembles the ‘work-for-hire’ piece.”

I also found several mentions of an old lawsuit by a group of Guides against About.com but was unable to determine the lawsuit results.

Anyone out there know how it was resolved?

In any case, it looks as if being an About.com Guide is a good gig for some writers. Just be sure to read the contract carefully and be aware of what rights you’re giving up.

From the Inkygirl cartoon archives:
While researching famous rejection letters, I happened across an interesting blog called The Rejecter whose tagline reads: “I don’t hate you. I just hate your query letter.” From the description: “I am an assistant at a literary agency. I am the first line of defense for my boss. On average, I reject 95% of the letters immediately and put the other 5% in the “maybe” pile. Here, I’ll tell you how to get past me.” The blog author invites writers to send him/her questions but NOT query letters.