I received a 1099 from Avon, it states the Federal Income Tax withheld is 0.00?

Question

When I pay avon, I pay the tax, so will I need to do something more when I file taxes?

Answer 1

Sounds like what you are doing when you "pay the tax" is forwarding the sales tax. THey are not withholding any income tax from you; that entire sum is taxable income. YOu can get information about filing an estimated tax form at
http://www.irs.gov/

Answer 2

i am betting that the tax u pay Avon is sales tax and not federal income withholding. u will be filing a schedule c on your inc tax ret...basically your own business.....any expenses which u incurred will be put against this revenue...mileage driven to clients, meetings for Avon, etc...business cards, paper literature related to Avon business, inventory samples purchased, if u had to purchase tables stands etc this too if big ticket items these may be able to be depreciated over a cpl of years, if u have a separate acct bank acct for your business any bank fees, postage...what did it cost you to make the income this is what u look at...if this is your first year with the schedule c it would probably be a good idea to see an accountant or at least a full time tax professional (i don't like the ones who get 10 hrs training and r gone n 3 months) find out if they will be around all year...just to make sure u r not missing out on any expenses...a portion of your home may be deductible as well if your cell phone is used for work, web hosting.....so many things to consider...good luck!!!!!!!

Answer 3

You are what is called "an independent contractor". Avon did not withhold any taxes from you as you work on a commission basis. The taxes you sent to them was the sales tax charged on the sale you made. You will need to file and pay taxes on the money you earned. You can also claim expenses you incurred while working such as mileage, etc.

Answer 4

The tax you pay to Avon is just the sales tax because you work for yourself if you want income taxes taken out and paid you have to do it yourself. Contact a tax preparation place and they can give you the information on how to do that this year.