turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
Close icon
Do you have a TurboTax Online account?

We'll help you get started or pick up where you left off.

marj1722
New Member

If I receive full retirement Social Security benefits in 2023 but $2500) from my sole proprietor business, do I have to file a Schedule C form with my 2023 taxes?

 
This feature is pending. Thanks for your patience.
Didn't get the answer you wanted? Talk to a live expert to get the help you need.
4 Replies

If I receive full retirement Social Security benefits in 2023 but $2500) from my sole proprietor business, do I have to file a Schedule C form with my 2023 taxes?

Yes if you have self employment income.  Now that you are receiving Social Security doesn't change anything.  You still file your regular tax return and add the SS to it.

 

Up to 85% of Social Security becomes taxable when all your other income plus 1/2 your social security, reaches:

Married Filing Jointly: $32,000

Single or head of household: $25,000

Married Filing Separately: 0

 

 

If I receive full retirement Social Security benefits in 2023 but $2500) from my sole proprietor business, do I have to file a Schedule C form with my 2023 taxes?

You always file a schedule C if you have net profit from self-employment of more than $400.  Even if you are receiving your SS benefit, you still pay SS and Medicare tax (or self-employment tax) on income earned from working.  And you must pay income tax on the net income as well, which is also calculated on schedule C.

 

You may be confused about certain rules.  To state them briefly, if you are younger than full retirement age, having income earned from working may reduce your benefit.  (For 2022, the cap is $19,560.)  However, income earned from working is always subject to social security tax, even if it does not reduce your benefit because you are full retirement age.  Also, having more than a certain amount of income can make your SS benefit partly taxable--this includes both income earned from working and unearned income like pensions or IRA.   

*Answers are correct to the best of my ability at the time of posting but do not constitute legal or tax advice.*

If I receive full retirement Social Security benefits in 2023 but $2500) from my sole proprietor business, do I have to file a Schedule C form with my 2023 taxes?

just to clarify the earnings limits: 

 

In 2022, if you’re under full retirement age, the annual earnings limit is $19,560 as stated by @Opus 17 

If you will reach full retirement age in 2022, the limit on your earnings for the months before full retirement age is $51,960.

Starting with the month you reach full retirement age, there is no limit on your earnings that will affect your social security payments.

 

https://www.ssa.gov/benefits/retirement/planner/whileworking.html#:~:text=If%20you%20will%20reach%20....

 

 

marj1722
New Member

If I receive full retirement Social Security benefits in 2023 but $2500) from my sole proprietor business, do I have to file a Schedule C form with my 2023 taxes?

Thanks for all the help provided in these answers. My question has been resolved.

 

 

message box icon

Get more help

Ask questions and learn more about your taxes and finances.

Post your Question
message box icon

Ready to start your taxes?

Hand off your taxes, get expert help, or do it yourself.

See Pricing
Manage cookies
v