My wife made money from 3 online English Teaching companies based in Hong Kong. She wasn't issued a 1099MISC for any of them and is considered an Independent Contractor. We weren't aware that we had to submit quarterly earnings until now.
I'm using Home & Business 2020. Under Business Income I've listed earnings from all 3 companies under General Income.
- I'm not sure what to choose for Accounting Method. Cash or Accrual Method? I've read that others are selecting Cash Method for similar circumstances, but we are not reporting the income in the year we actually received it. Accrual doesn't make sense either because we're not necessarily reporting it in the year we've earned it either. If I don't select anything it will not let me go any further.
- After entering all income which is < $10k it is saying my federal refund is $146. How can this be? I set aside 25% of this money assuming this is what we'd owe. I feel like I'm definitely doing something wrong.
