What kind of business did you set up? Are you a sole proprietor or a LLC, S Corp, Partnership, Corp, etc.
If you are a independent contractor or sole proprietor or Single Member LLC but not an S Corp. you file Schedule C in your personal return. The Net Profit or Loss is you personal income. You pay self employment tax on a Net Profit. That pays both parts (employer and employee) FICA for Social Security & Medicare.
You cannot deduct your own salary or any personal withdrawals you make from your business. As a sole proprietor, you are not an employee of the business.
Sole proprietors cannot take a withdrawal or salary and include it as an expense on their tax return. As a sole proprietor, you are not an employee of the business. You don't pay yourself or enter a salary or withdrawal for yourself. All the business income and expenses are your personal income and expenses in the first place. You just fill out a Schedule C. The net profit or loss is your income. If you have a net profit of $400 or more on schedule C you will pay SE self employment tax on it in addition to your regular income tax. It's all included on your personal 1040 form.
