You have to pay taxes on your income per your state's tax laws. I *WOULD_NOT* try to avoid these taxes as if you get caught which you will, you're going to get royally fucked. This has nothing to do with hacking or hiding behind a proxy and whatnot.
Also a word of caution, do know that people will say things that of which they have no clue of what they are talking about, and by you listening to them, regardless of your good or bad intentions, will get fucked by the IRS both financially and legally if the person is wrong (probably are to an extent)
@Benowns - No actually. Their transactional charges are their made up fee for the service which they have every right to do. They use Paypal for a reason, and that is so they don't have to handle the taxes and send out 1099's/report each individual taxes to the IRS at the end of the year. Regardless, you're paying your taxes.
I don't believe there is a clear answer on this yet.
There is, and the answer is you pay it. If you want me to back up this statement unfortunately , the best thing I can do is say contact a professional.
People go to years of training for this type of shit, and some of the laws are complex. It gets even worse if you're not even in the USA. I want to warn you again of people posting with 0 knowledge on the subject, they won't help you when you get a $60,000 tax fraud / evasion and/or jail time , ignorance is not an excuse