do i need tax forms at the end of the year.Or just enjoy the check
2007-01-10 05:38:18 · 7 answers · asked by angel 1 in Business & Finance ➔ Taxes ➔ United States
No taxes were taken out if you did this job as an independent contractor. If the amount is $600 or more you should be receiving a 1099-MISC from the payor. The payor is required to send in a 1099-MISC to the IRS.
Even if you do not receive a 1099-MISC you report this income, using Schedule C. If your net after expenses is $400 or more then you also fill out Schedule SE and pay Social Security and Medicare taxes.
2007-01-10 06:30:27 · answer #1 · answered by ninasgramma 7 · 1⤊ 0⤋
Well, enjoy the check, but you will have to include the amount on your tax return. You were apparently considered as an independent contractor, so you'll probably get a 1099 from the company you did the work for. You'll have to file a schedule C to report that income and any associated expenses, and a schedule SE to calculate self-employment tax on the payment. The bottom line numbers from each of these forms will transfer to your 1040.
2007-01-10 06:18:52 · answer #2 · answered by Judy 7 · 0⤊ 1⤋
There are two answers. Were you a self-employed contractor, and if so, you file your return showing this as income as self employed, or two, you show it as other income keeping a copy of the check stub attached to your return for documentation. if you do not receive a 1099 form (if it is under $600 you probably won't) you can make sure you notate it yourself. You are "supposed" to tell the IRS of all icome, no matter how little it is, even if you get no forms. I suggest avoiding the "self-employed" approach only because you tend to pay more tax etc.
2007-01-10 05:46:24 · answer #3 · answered by Jen 5 · 0⤊ 0⤋
The company you did the work for should mail you a form 1099 misc. earnings. You will need to add the amount that showes on the 1099 to your regular earnings when you fill out your tax return.
They have until Jan. 31st to mail it to you.
2007-01-10 05:44:01 · answer #4 · answered by ? 7 · 0⤊ 0⤋
yap..you need to ask for 1099 G (form)...this form used if you dont pay taxes and ofcourse by the end of the year you need to report that to irs...
cuz the company that you work with might report to irs and you didn't you will be in trouble...so good luck
2007-01-10 06:10:49 · answer #5 · answered by angel 6 · 0⤊ 0⤋
If the check was for more than $400, you will will out Sch C on your federal return and pay taxes on it. Otherwise, do not worry about it.
2007-01-10 06:05:00 · answer #6 · answered by growing inside 5 · 0⤊ 0⤋
The company that sent you the check may consider you as a subcontractor. If so, you would be categorized as self employed and may need to complete schedule c.
2007-01-10 05:43:45 · answer #7 · answered by Smart1 3 · 0⤊ 0⤋