Steam needs your tax information to verify your identity and ensure compliance with regulations.
Steam needs your tax information to verify your identity and ensure compliance with regulations.
And it's only for cataloging, doesn't matter whether your products are sold or not—it's just to list them
You can refer to it as virtual currency without altering its true nature—just like real money, it can purchase goods and services. Legally, it’s treated as real money under U.S. law, as mandated by the IRS Code. Valve follows this requirement, and their tax advisors likely have a deeper grasp of these regulations.
This situation will never occur. It doesn’t align with their goals, isn’t viable from a business perspective, and would also risk turning the platform into a tool for financial crime. They definitely don’t want such a scenario. Occasionally people worry about what happens to games if Valve or Steam shuts down. The usual reply is that Valve won’t go dark. If authorities—whether in the US, EU, or elsewhere—accuse Valve of money laundering or tax evasion and demand action, they’d likely shut it down quickly, faster than any underground operation like Silk Road. Gaben would strongly oppose this. Therefore, they plan to maintain a secure Steam economy that strictly follows tax regulations.
maximize your earnings with a weekly payout around $50 or more.
Steam should aim to provide greater value at a lower cost to better serve users.
LOL. Apply it to your boss too. It’s hard to see how much clearer this could be. It doesn’t matter if the income is real or not—Steam won’t accept eggs from chickens, but you still need to report the earnings. Your neighbor probably isn’t stressed about IRS rules every day, so he doesn’t worry about filing. Valve definitely keeps an eye on the IRS, and so do others like them. If your ‘neighbor’ was Tyson Chicken, they’d likely ask for the same details Steam does. If you don’t like it, just withhold the info—they won’t ban you from Steam, but they’ll stop letting you sell there.
Edit: On a personal note, I should probably agree with you. This tax situation, like most government work, has gone too far. It’s become a huge hassle for everyone—taxpayers and those who help enforce it, such as Valve and their lawyers. Just remember, whenever someone says there’s a problem, the answer is usually more government involvement.