small business taxes

Forum|Forum|2 years ago
October 25, 2023
1 reply
5 views

I just started an LLC as a therapist. How do I report my new business income and expenses? How often do I need to file taxes? And how much should I set aside for taxes?

xmasbaby0

Level 15

You will have self-employment income, for which you will pay15.3% self-employment tax for Social Security and Medicare, as well as ordinary tax (based on how much you earn).

https://ttlc.intuit.com/turbotax-support/en-us/help-article/form-1099-nec/1099-nec/L5qTsBiSe_US_en_US

https://ttlc.intuit.com/community/self-employed/help/how-do-i-report-income-from-self-employment/00/26653

https://ttlc.intuit.com/community/self-employed/help/what-is-the-self-employment-tax/00/25922

https://ttlc.intuit.com/questions/2902389-why-am-i-paying-self-employment-tax

https://ttlc.intuit.com/questions/1901340-where-do-i-enter-schedule-c

https://ttlc.intuit.com/questions/3398950-what-self-employed-expenses-can-i-deduct

https://ttlc.intuit.com/questions/1901110-do-i-need-to-make-estimated-tax-payments-to-the-irs

https://turbotax.intuit.com/tax-tools/calculators/self-employed/

**Disclaimer: Every effort has been made to offer the most correct information possible. The poster disclaims any legal responsibility for the accuracy of the information that is contained in this post.**

Carl

Level 11

If you just started your business in 2023, I would *HIGHLY* suggest you seek the services of a CPA or tax professional for "at least" your first year of business. Especially if your state taxes personal income. Doing things wrong that first year can (and most likely will) cost you dearly. I lost count years ago of the number of businesses I've known to go bankrupt before the business even got off the ground, because of the owner's lack of knowledge of taxes and other requirements. Doing things wrong and dealing with the potential back taxes, fines and penalties can make the cost of professional help in that first year seem like a pittance in comparison.