1099 questions... :-)?
1099 questions... :-)?
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.
Answers:
pumpdatiron: You should have been paying quarterly if you are self employed. You should seek a tax adviser.
2007-12-31 20:05:39
2007-12-31 20:05:39
Judy: 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 20:11:57
2007-12-31 20:11:57
Chosen Answer
viajero_intergalactico: 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 20:16:46
viajero_intergalactico: 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 20:16:46
RANDALL M: 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 20:34:11
2007-12-31 20:34:11
MukatA: 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 22:36:42
2007-12-31 22:36:42
MrMojo1: 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 10:24:22
2008-01-01 10:24:22