questions about 1099 and refund?

questions about 1099 and refund?
My husband works for cash and has been told he will receive a 1099 this year. No taxes are withheld from this income and it is paid to him in a personal check each week. Am I right assuming he hasn't paid any taxes at all this year, then he will have to pay for the whole years taxes when he files this? We have three children and myself that he supports with this income. Will he be able to get the tax credits for me and the kids? To reduce(or even cover) the amount owed? I am so confused on this. Will we receive a refund? When I worked all year long, and when he worked a "regular" job and claimed the kids, we got huge refunds back...WAY more than what we paid in. We are not legally married, just been together for 15 years so it doesn't matter who claims the kids. Any help would be appreciated, thanks! thanks...I'm trying to hold out hope for a refund and we've known all year he should've been paying in his taxes. Although unbelievable to some, he has made less than 20,000 this year...to support a family of five! Needless to say, it's been a rough year for us. I don't have the exact figure, but I think it's around 18,000.


Answers:

wasted_n_withered:  I write online and have to file one too but my husband gets a refund and we get the credit for the kids, because we file jointly whatever I owe is just taken out of his refund and the credit for the kids.
2010-12-28 11:05:23
golferwhoworks:  he will owe taxes but that may well be off set by the deductions claimed just as in the past
2010-12-28 11:07:38
acmeraven:  Download a Pub 17 at IRS.GOV for some intel on matters relating to tax. As a self employed contractor your husband will fill out a Sch C and SE; morphing to a form 1040. You have to know what he grossed for income and what his expenses related to business were for the year to fill out the Sch C. The info from the Sch C lets you create a SE showing how much Social Security & Medicare tax he will owe. If the children are under age 17 you will most likely be eligible for CTC; and depending on income for EIC. If you have no idea what you are doing relating to taxes you might consider going to a licensed and registered tax preparer who can do your return and see that you recieve everything you are entitled to. The intelligent application of knowlede, training and experience is power aka a larger refund.
2010-12-28 11:13:02
Chosen Answer
Judy:  Yup, you're right, he'll have to pay them all at once when he files. Yes he must still file , can claim the kids and maybe you, and be eligible for the usual credits. If he's entitled to any credits, they'll apply to the tax he owes. Whether the credits would cover what he owes or not, and still maybe give a refund, depends on how much he made for the year. If you'll post again with that info, somebody can probably give you an estimate.
2010-12-28 11:26:58