I've got an Internet site setup where people can buy my software for $10 per copy. I handle all my transactions through PayPal, so they deal with credit cards and bank accounts. I know that the Internet is tax free while buying things (in most states), but what about people selling things? I just want to know what I need to file, if anything.

I'm only 17 years old right now and I just got my first real job mid January, so I don't have any W2s for 2003. My first transaction for my website was made on November 13th, 2003 and through December 31th, 2003 I made $231.57. January 1st, 2004 through today I've made $75.77.

Do I need to file any special papers or anything? Isn't it true if you don't make $500 in any one year you don't have to file? If someone could help me out, it'd be appreciated!

P.S. I live in Louisiana if that is relevant.