Yes you do. You are in business and you need to pay income taxes on your profits. All members are treated as independent contractors and you will receive from the affiliate used car dealership a 1099 which you need to file with your income tax form 1040. You simply keep track of your income and expenses and hand everything over to an accountant who will prepare your income tax returns. Members usually report their income on a schedule C, which is attached to their 1040 Income Tax Form.