You’re paying for a virtual good, the badge that appears on your profile. As of now virtual goods do not require sales tax. You could also argue that you’re voluntarily paying for a service. Board Game Geek already does this sort of thing too.
As for income tax, I’ve been filing taxes for the earnings on this site since I put up the ads.
David
@Emperor:
I’m ready to make my donation…diamond level, but i do have some concerns.
How will you handle online donations, transactions must be secure.
Once we start down this road what regulations will the site be subject to?
If we do this the site goes from just an informational site to one where money is passing hands. I’m no expert, but I do know Libs, if it moves, tax it.
I’m sure the feds have rules governing this (they can’t help themselves) so before we jump in head first let’s make sure we know what we are doing.