Sole Prop Taxes

[Laura_CPA]

@AniTar1 you are very welcome, glad you joined us today! 

Have a great day, 

Laura 

[bkaytaxes]

Hello @AniTar1 !

Great question!  You are on the right path.  You would still file your federal return as usual.  The only differences is that you would included a Schedule C as part of the filing.  A schedule C is to report the income and expenses from your Self Employment.  You would do the same for the state of California.   Make sure to take time to report all your expenses so you are only paying taxes on the profit from your business.    Turbo Tax (most tax software) will walk you through the federal and state reports to make sure you are not paying more than you should.   If its a hobby vs a business you would still need to report the income but there will be some differences.  Here is an article to support you along the journey:

Reporting Self Employment Income and Expenses 

Hobby vs Business 

[AniTar1]

@Laura_CPA Would the Sales and Use Tax (separately filed from your 1040/540 tax returns) be part of my federal/state tax return or part of my city tax return? Where would I get the form for this?

[Laura_CPA]

@AniTar1 the Sales and Use Tax Return is filed via this website: https://www.cdtfa.ca.gov/services/#File-a-Return. Click on the first option, file my return now and it will ask you to setup your account to be able to file the return. 

Here's how the form will look like: https://www.cdtfa.ca.gov/formspubs/cdtfa401a.pdf

Cheers, 
Laura