2006-11-16 18:25:13 · 3 answers · asked by carmen r 1 in Business & Finance ➔ Taxes ➔ Other - Taxes
Judy, as usual, gave a sound answer. I would just add one thing.
If you are going to do your taxes yourself (which I do not generally recommend with a Schedule C) do not forget about Schedule SE. That covers self-employment taxes, like the Social Security and Medicare deductions employees have. Remember, you have to pay double what an employee would pay as you have to pay the "employer's" share as well.
Often, SE tax can cause a shock at tax time, especially with a new business. You might want to take your records to your accountant before the end of the year and get an estimate of the tax bill. If you do not have an accountant yet, now is a good time as this is the slowest time of the year in most CPA offices.
2006-11-16 23:46:54 · answer #1 · answered by skip 6 · 0⤊ 0⤋
Yes. Assuming your business is not incorporated, you'll file a schedule C or C-EZ as part of your return, showing your business income and expenses. That net will transfer to your 1040.
2006-11-17 02:40:55 · answer #2 · answered by Judy 7 · 2⤊ 0⤋
can you say schedule c?
2006-11-17 05:17:45 · answer #3 · answered by Anonymous · 0⤊ 0⤋