MMO Tax May be on the Horizon

accountant.jpgCNET News posted a story yesterday that may have some MMO players reaching defensively for their wallet.

Do to the increase in popularity of some massively multiplayer online titles such as World of Warcraft, EverQuest, or Second Life, it won’t be long until the IRS will want a piece of the action. At least that’s what members of a panel called “Tax and Finance” at the State of Play/Terra Nova symposium in New York stated during their fourth annual gathering this past weekend. Basically the items that you obtain from a game like WoW have a certain value. While that value may be difficult to ascertain, the government may still want to take a cut from you looting, trading, or even selling an item at an auction house.

Personally, I think determining the “value” of something used in-game, such as the Sword of a Thousand Truths would be a headache not only for the IRS, but also for the accountant over at H&R Block that does my return. Let’s say an ax is valued at $10, however in-game it goes for 150 gold. Now if gold is currently valued at a ratio of 10 for $1, then is the ax worth $10 or $15? I’d have no idea, and if I picked the wrong one would I then get audited and fined for misstating my virtual earnings? Who thought that video games could ever get so complicated.

About the Author

Having over 25 years of gaming experience, Zach knows a thing or two when it comes to one of his favorite entertainment activities. Additionally, he has also written many articles previewing and reviewing titles which can be found in various places around the net, including VGBlogger.com.