"Thanks to our creative bookkeeping and corporate loopholes, we only pay about $3 in taxes a year."

[batskeets]

So, this is probably a longshot, but does anyone know anything about doing taxes for a home business or for contract work? I've been doing an awful lot of freelancing this year, and I'm starting to bring in enough that I should probably report it all. I don't really own a business, though, because it's just me working from home on a contract basis.

This would still mean including deductions like the cost of my internet connection, etc. I, of course, have no idea how this works, because I have never needed to fill out anything for taxes besides a 1040-EZ.

Maybe I should just go see an accountant sometime.

Comments

[ex-grant701.livejournal.com]

Skeet'lins!

You only need to report income more than $600 from each contractor. That is, if you've done more than $600 of work for any one person or company, they should have issued you a 1099 form, a copy of which goes to the government. You'd be responsible for filing that after its given to you during normal tax return season. The thing is, if you file a 1099, you also have to pay self-employment taxes, which you can figure out on your tax return. In the event that you have to, you may deduct ANY expense you incurred running your business, such as postage, software, meals with your clients, and yes, internet connection.

However, if you haven't gotten more than $600 from any one contract, don't worry about it, because there's no paper trail.

[aleisha.livejournal.com]

I would recommend going to see a tax consultant. They saved dellswor and I a fair amount of money. They are worth the fee.

[xplo.livejournal.com]

In theory, the government provides everything you need to understand how to do your taxes for free.

I say "in theory" because depending on how fucky your tax situation is, you may have to spend an awful lot of time poring over tax publications, once you figure out what the right ones are. Unless you WANT to spend this time, it may well be worth just going to see a tax guy.

[numfar.livejournal.com]

You should drop by and have a chat with polysciguy at some point. . . He's not a tax consultant. . . but he might know something about the self employment tax thing. It can't hurt. And you can't beat his rates. ~_^

[dmmagic.livejournal.com]

What kind fo freelancing do you do, Sarah?

[skeets.livejournal.com]

Web design/development. Most of the people I freelance for just want design, but I can do some cool scripting and database-y shite too.

[dmmagic.livejournal.com]

I do a lot of Web design as well, but find it difficult to find buisness.

The last best job I had was designing and developing the Navy's Website. I've done a few D&D Web sites here and there, but nothing substantial since... I NEED BUISNESS, DAMN IT!