1099 and local tax Hello,
I've been working for the same company for the past 5 years. I'm an independant contractor who works from my home, has a "home office", and only really goes to the company's headquarters for meetings. It was my understanding that since I'm 1099 with a home office, I pay local (city) tax based on where I (my office) lives. However I just got a notice from the city where the company's headquarters is (I live in a suburb outside of it), saying I owe back taxes for the past 5 years. How could I possibly owe taxes on both where my home office is, and where the company who cuts my checks are? In fact theres a sub company that cuts half of my checks in an entirely different state - do i owe them too?
I called the city tax department (Columbus, Ohio) and asked them and she couldn't really tell me. Said something about "questions about somethnig on a Schedule C", and then transferred me to the guy whos handling my case. However he hasn't been available or returned my call yet, and this is causing quite the deal of anxiety for me as its a very large bill.
Please any advise would be great.
Thanks |