Do I need to file quarterly driving Uber?

[boskwthomas1988]

I started driving for Uber in April 2018. Should I file 4 times a year or just bundle it with the federal tax annually? I have learnt that Turbotax does not support quarterly filing. Is there any other option if quarterly filing is required? Since I will not be receiving the 1099 from Uber until next year, how does the estimated tax work? Thank you.

[YassetG]

Here is a link to a great article A guide to pay quarterly taxes.

https://turbotax.intuit.com/tax-tips/self-employment-taxes/a-guide-to-paying-quarterly-taxes/L6p8C53...

It includes the link to make your payments online and other recommendations.

[VolvoGirl]

You don't do quarterly filing.  What you do is pay quarterly estimated taxes to cover the tax you will owe on your personal tax return.  1040ES estimated tax payments are like withholding you have out of your paychecks at work.

The first year you don't need to pay estimates as long as you pay in (by withholding) as much as your tax was last year.  But if you will have a big income you should send in estimates so you don't owe too much next April on your tax return.

You must make quarterly estimated tax payments for the current tax year if both of the following apply:
- 1. You expect to owe at least $1,000 in tax for the current tax year, after subtracting your withholding and credits.
 
- 2. You expect your withholding and credits to be less than the smaller of:
    90% of the tax to be shown on your current year’s tax return, or
  100% of the tax shown on your prior year’s tax return. (Your prior year tax return must cover all 12 months.)

To prepare estimates for next year you start with your current return, but be careful not to change anything in your real return or you will overwrite your return.

You can just type W4 in the search box at the top of your return , click on Find. Then Click on Jump To and it will take you to the estimated tax payments section. Say no to changing your W-4 and the next screen will start the estimated taxes section.

Or Go to….
Federal Taxes or Personal (Desktop H&B version)
Other Tax Situations
Other Tax Forms
Form W-4 and Estimated Taxes - Click the Start or Update button

If you can't get back into your return try this, On the Tax Timeline page you have to select Add A State to get back into your return.   The 1040ES quarterly estimates are due April 17, 2018, June 15, Sept 17 and Jan 15, 2019.  Your state will also have their own estimate forms.

[VolvoGirl]

Some general info.  You will need to keep good records.  You may get a 1099Misc or 1099K at the end of the year if someone pays you more than $600 but you need to report all your income no matter how small.  You might want to use Quicken or QuickBooks to keep tract of your income and expenses.  There is one called QBSE QuickBooks Self Employed that works with Turbo Tax and will give you a free online tax return next year.

QuickBooks Self Employment bundle you can check out which includes one Turbo Tax Online Self Employed  return  <a rel="nofollow" target="_blank" href="http://quickbooks.intuit.com/self-employed">http://quickbooks.intuit.com/self-employed</a>

To report your self employment income you will fill out schedule C in your personal 1040 tax return and pay SE self employment Tax. You will need to use the Online Self Employed version or any Desktop program but the Desktop Home & Business version will have the most help.

Self Employment tax (Scheduled SE) is automatically generated if a person has $400 or more of net profit from self-employment.  You pay 15.3% SE tax on 92.35% of your Net Profit greater than $400.  The 15.3% self employed SE Tax is to pay both the employer part and employee part of Social Security and Medicare.  So you get social security credit for it when you retire.  You do get to take off the 50% ER portion of the SE tax as an adjustment on line 27 of the 1040.  The SE tax is already included in your tax due or reduced your refund.  It is on the 1040 line 57.  The SE tax is in addition to your regular income tax on the net profit.

Here is some IRS reading material……

IRS information on Self Employment
<a rel="nofollow" target="_blank" href="http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Self-Employed-Individuals-Tax-Center"...

Pulication 334, Tax Guide for Small Business
<a rel="nofollow" target="_blank" href="http://www.irs.gov/pub/irs-pdf/p334.pdf">http://www.irs.gov/pub/irs-pdf/p334.pdf</a>  

Publication 535 Business Expenses
<a rel="nofollow" target="_blank" href="http://www.irs.gov/pub/irs-pdf/p535.pdf">http://www.irs.gov/pub/irs-pdf/p535.pdf</a>

[VolvoGirl]

And see,  Tax Tips for Uber, Lyft, Sidecar and other Car Sharing Drivers FAQ
 <a rel="nofollow" target="_blank" href="https://turbotax.intuit.com/tax-tools/tax-tips/Self-Employment-Taxes/Tax-Tips-for-Uber--Lyft--Sideca...>