Do self-employed odd-jobbers have to pay taxes?

Question

Say you were a dog-walker or solo interior decorator, paid in cash by your clients. How would you go about finding out if and how the IRS expects to be paid?

Answer 1

You must file return if your self-employment income (after deducting expenses) is $400 or more. Your self-employed income is subject to employment tax at 15.3%. For this, with your Form 1040, you attach Form 1040 Schedule SE.

Answer 2

You are required to report your your income to the IRS if it's a certain amount, roughly $5000 or so. Since the IRS will not have record, it is up to you to honestly report your income. Just like a waiter/waitress is supposed to report tips. You will also be charged a self employment tax of 15%. To ensure you don't owe taxes at year's end, the IRS requires that you make Estimated Quarterly Tax payments throughout the year.

Answer 3

You are considered contract labor so yes you do need to file a tax return. Don't be fooled by the saying "if your paid in cash it doesn't count" because it does and you could get caught.
For example, a friend of mine did odd jobs babysitting for one family in particular. She was always paid in cash. That family filed for the money spent on child care on their taxes. They had her information. The IRS contacted her by mail and told her of her "failure to file income" and she had to pay.

Answer 4

If you receive over $399 in a year from odd jobs, by cash or check, and whether or not you get a 1099, you are legally required to report it by filing a tax return.

Answer 5

Yes, you have to pay taxes. It is your responsibility to log all of your earnings and file. Do you think the IRS doesn't expect valet to claim their tips (80K - 100K in Vegas)? However, if you are doing odd jobs, then chances are you didn't make enough money to actually "pay" taxes. You might actually qualify for a rebate for not making enough; especially if you have a child.

Answer 6

I can tell you for a fact that if you get paid in cash, you don't have to file taxes. My ex always works for cash, so i could never get any child support from him, because they have to have somewhere to garnish it from. He only filed taxes 1 time in 7 years. i should get him for tax evasion...

Answer 7

if you get a 1099 form, then you have to pay taxes. But if you're paid in cash, I guess you wouldn't. Call your local H&R Block office and ask them.

Answer 8

Yes, not just income tax, but self-employment tax as well.