Hello @joannaj101 !
Great questions and thanks for joining us today for the event!
When we earn money from providing goods or services the IRS requires we pay taxes. When we work for an employer, the taxes are paid for us every time we get a paycheck. When we work for ourselves that responsibility falls on us. The IRS requires us to pay taxes as we earn income and to make it more streamline the IRS has the quarterly system in which we pay taxes on the profit from our business. Here is a helpful link with all the deadlines and details you need to know Quarterly Tax Payment Details You can also pay the taxes directly on the IRS website - this is a fast and easy option and also allows you to track your payments in one place (first step is to create an IRS account if you don't have one already) IRS Payment Portal . Here is a link to the IRS website for the forms and instructions: Estimated Tax Payment Forms and Instructions
Each state has its own set of rules for estimated taxes, and California is no exception. Here is the link for the California Tax Board that covers self employment taxes. California Self Employment Taxes . If you expect to owe taxes you are required to pay as you go, similar to the federal tax requirement the IRS has in place. There is a link on this page that also goes into how to calculate and pay self employment taxes.
Great news, working remote is a great opportunity to be able to write of expenses around the home or wherever you work outside of an office. If you owned equipment prior to starting your business but then began using if for business you will be able to depreciate it based on the fair market value of when the business began . Turbo Tax will walk you through the steps for claiming eligible expenses.
Turbo Tax is here to support you on your new journey, so please feel free to reach out whenever there are questions!
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
