I was wondering if anyone knew what kind of return ill be looking at? im gonna be 1099 this year and ive made about 10,000 Dollars I have 2 kids and plan on claiming them.
2007-12-31 15:01:02 · 6 answers · asked by Anonymous in Business & Finance ➔ Taxes ➔ United States
cool thing is you did not make that much (for tax purposes only). so you wont owe too much.
now , im no tax specialist but i do know you were supposed to pay at least 90% of the tax on those 10K during the year as you earned it. ( unless you earned all of it during the last three months)
with the 2 kids, you will probably get money from the irs. however it may be reduced because of penalties on not making payments.
2007-12-31 15:16:46 · answer #1 · answered by viajero_intergalactico 6 · 0⤊ 1⤋
Generally, by receiving a Form 1099 (probably Form 1099-Misc), you would need to file Schedule C along with Schedule SE (which most people forget) with Form 1040.
You can using tax software or go to a tax professional to assist you especially if you've never filed a Schedule C in the past.
2008-01-01 05:24:22 · answer #2 · answered by MrMojo1 5 · 0⤊ 0⤋
You will get 1099 (instead of W2), this means that you are self-employed (or independent contractor).
You will file schedule C (Form 1040). On this you will report your income and business related expenses to figure out your net income.
On the net income you will pay SE tax at 15.3%. You won't have any other taxes. You will get Earned Income Credit.
2007-12-31 17:36:42 · answer #3 · answered by MukatA 6 · 0⤊ 0⤋
Judy up above got most of the information to you but don't forget you may deduct any expenses on earning that $10,000. You are considered self employed and, therefore.you are running a business and have certain expenses related to running that business.
I have no idea what kind of business you have or what you did to earn that money so the expenses part of this is up to you. Good luck.
2007-12-31 15:34:11 · answer #4 · answered by RANDALL M 3 · 0⤊ 0⤋
Have you paid in for quarterly estimated payments? You'd most likely get an Earned Income credit of around $4000, and wouldn't owe any income tax, but would owe a little over $1400 for self-employment tax (social security and medicare), so your check will be around $2600. If you paid in anything quarterly, that amount would also be refunded.
2007-12-31 15:11:57 · answer #5 · answered by Judy 7 · 2⤊ 1⤋
You should have been paying quarterly if you are self employed. You should seek a tax adviser.
2007-12-31 15:05:39 · answer #6 · answered by pumpdatiron 6 · 0⤊ 1⤋