If you have not set up a business entity such as a LLC, partnership, or corporation, then sole proprietor and independent contractor are basically the same. Either title will have to report their income and expenses on the Form 1040 Schedule C or Form 1040 Schedule C-EZ. Furthermore, the job titles will not make a difference on your tax return because the income tax and possible self-employment tax is computed on your net income.
Generally, doing work as independent contractor may include receiving a Form 1099-MISC with box 7 checked, or entering into a contract that stipulates that you are not an employee and are responsible for your own expenses and taxes.
As a self-employed individual, you may generate your own income without a third party involvement in determining methods and prices. This would align with receiving other business income from sales.
When there are several occupations (e.g. artist, dancer) then you must file a separate Schedule C or C-EZ to report the income and expenses of each occupation. However, both forms are attached to your Form 1040.
