turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
Announcements
Event: Ask the Experts about your refund > RSVP NOW!
Close icon
Do you have a TurboTax Online account?

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

Kevin14
New Member

Do I really owe money? My total income was $2,036. My Federal Deductions and Exemptions were $10,594, and my Fed Credits are $143. My income is less than my deductions.

 
Connect with an expert
x
Do you have an Intuit account?

Do you have an Intuit account?

You'll need to sign in or create an account to connect with an expert.

1 Reply
AmyT
New Member

Do I really owe money? My total income was $2,036. My Federal Deductions and Exemptions were $10,594, and my Fed Credits are $143. My income is less than my deductions.

If you are self-employed (file a schedule C) and show a profit, it is possible that you owe self-employment taxes even if you have no "taxable income".

The self-employment tax is separate from federal income taxes.  It is, in essence, you paying both portions of social security and medicare income on any profits you have from your small business.  Since this tax is calculated separately from federal income taxes and does not take into account deductions normally considered for income taxes (such as standard/itemized deductions and exemptions), it is possible to have a negative income but still owe self-employment taxes.

message box icon

Get more help

Ask questions and learn more about your taxes and finances.

Post your Question
Manage cookies