Hi,
I know this might seem a silly question but I'd like to clarify it anyway.
- A player of an online game slays a dragon and earns 3000 gold pieces in the game. It happens that this player knows there are other players willing to pay 100 UK pounds for 3000 gold pieces. The player does NOT perform this exchange; they keep the money in the game and use it for buying a magic sword. However, since he COULD have sold the gold pieces, is he required to declare that he recieved an asset worth
- An online game provides a brokerage service allowing people to exchange their gold pieces for real money by selling them to other players. However, when gold pieces are sold the real money paid is gained as "US$ credit" on the game's server, and can then be used to offset the monthly subscription fee, or paid out to the player's bank. If the player above sells their gold pieces for US0 but leaves this as credit on the server, using it to pay the subscription, are they required to pay tax on the US0 and how should it be declared?
Thanks, Mark.