“Am I able to file and if so which forms do I file?”--->I guess you are a sole proprietor that receives a 1099, then you need to file your tax as long as your net earnings on Sch C line 29/31 is $400 or as long as the amount on Sch SE lien 4 is ALSO $400 or exceeds $400, you need to pat self employment tax. If you are filing as a sole proprietor and/or a self-employed individual, you generally have to make quarterly estimated tax payments if you expect to owe tax of $1,000 or more when you file your return.However, you do not have to pay estimated tax for the current year if you had no tax liability for the prior year ;you were a U.S. citizen or resident for the whole. Self-employment tax is a tax consisting of Social Security and Medicare taxes primarily for individuals who work for themselves. It is similar to the Social Security and Medicare taxes withheld from the pay of most wage earners. The 2010 Tax Relief Act reduced the self-employment tax by 2% for self-employment income earned in calendar year 2011. The self-employment tax rate for self-employment income earned in calendar year 2011 is 13.3% (10.4% for Social Security and 2.9% for Medicare). The Temporary Payroll Tax Cut Continuation Act of 2011 extended the self-employment tax reduction of 2% for calendar year 2012 so the rates for 2011 remain in effect for 2012. For self-employment income earned in 2010, the self-employment tax rate is 15.3%. The rate consists of two parts: 12.4% for social security (old-age, survivors, and disability insurance) and 2.9% for Medicare (hospital insurance).ALSO, if you have Federal/state taxes withheld from your self employment income/wages for this tax year and wish to get a refund back, then you must file your return. Please visit the IRS Website here for more information:
Estimated Taxes Self-Employment Tax (Social Security and Medicare Taxes)
Linear Mode
