Yes, it does sound normal.
There are several impacts to your return from adding a 1099-MISC:
-
Self-Employment Tax. Since they didn't take Social Security or Medicare tax out, you pay employer/ employee share on your net income. If the 1099-MISC is $3500, that about 15%= $525. Expenses will decrease this.
-
Regular Income Tax. You also pay that. So, lets say your marginal rate is 15%, that adds another $525. So, we got $1050 right there.
- It may also impact other credits on your return which are impacted by a change in income.
Either way, $1000 or so is easy to understand by itself.
Just make sure you add any ordinary and necessary expenses that you are entitled to.
