Tax question self-employment

Bonnie L · #1 04/15/10, 04:53 PM

I'm on hold with the IRS right now, so I thought someone here might be faster (4-15 is NOT the right day to call the IRS!

)

We are using the 1040 form & have self-employment income. The form says to attach 1099-Rs if tax was withheld. We had no taxes withheld.

Is the income amount from the 1099-Rs supposed to be added in with the regular income on line 7? Or is it kept separate? And do we attach the 1099-Rs with the W-2 or elsewhere?

Thanks all!

Bonnie L · #2 04/15/10, 05:35 PM

The IRS beat the HT people! Nice young lady got me straightened out. SE income goes on line 12 - which I should have seen.

And I got 1099 R & Misc mixed up. Another

.

Good thing I don't work for the IRS!

MariaAZ · #3 04/15/10, 06:36 PM

DH is employed, I'm self-employed and we have investment income. I had enough headache doing our taxes when it was just W-2 type income, so we retained the services of an accountant.

fatrat · #4 04/15/10, 08:41 PM

I am also self employed and I use Turbo Tax for my taxes. There are many other tax preparation software products out there and they all work well. If you go to the IRS web site they will refer you to the many companies that offer IRS approved software. You just answer questions as you go along and the software will take care of everything that needs to be filed properly. It works very well.

Melissa · #5 04/15/10, 08:44 PM

If you have self-employment you have to first report it on a schedule C or C-EZ, do the calculations then put it on line 12.

**clovis** · #6 04/15/10, 09:59 PM

Yes, definately look into a schedule C.

Are you missing deductions that could easily be taken off on the Schedule C????

For instance, if DH is self employed in the building trades, his tool purchases should be deductable. Mileage may also be duductable as well.

BTW, how are you going to figure his SSI tax?????? (This is figured on form SE, I believe.)

If you failed to file a C, I'd expect a letter from the IRS sometime this year.

Joshie · #7 04/15/10, 11:46 PM

Hubby has been self employed for many years. He uses tax software.

Bonnie L · #8 04/16/10, 01:11 AM

Dh teaches, I write. Neither of us has kept good records - didn't know we would need them. So mileage is one we have to start doing, also copying, paper, etc.

We did the C & SE forms. It's looking ok now - I think. I've got all my fingers & toes crossed!