For an owners draw on a schedule C sole proprietorship (and a single member LLC not electing to be treated differently), an owner's draw itself is not directly taxable.
However, you do pay taxes based on your business's net income (income less expenses), regardless of the draw amount.
For self-employment you should be calculating and paying estimated quarterly taxes (income tax and payroll). you could use our tax calculator to assist you with the number. https://turbotax.intuit.com/tax-tools/calculators/self-employed/
If you have elected S-corp status, you are required to be issuing yourself payroll checks (reasonable compensation) before draws - distributions.
If you have partners or a multiple member LLC (partnership), you could possibly be having a reduction in your Partner's Capital Account or possibly a guaranteed payment depending on the nature of the cash out and you could be subject to self employment taxes.
