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posted Jun 6, 2019 12:09:27 AM

Does the Turbotax Self Employed automatically deducts the 50% of the self Employed tax? the article in the website doesn't state clearly how to do it on the software.

Been using the Turbotax Self Employed for 3 years, and I didn't know I could deduct 50% of my self employ tax. Don't know where to do it exactly or in what section of the program is done.

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1 Best answer
Level 3
Jun 6, 2019 12:09:29 AM

Yes, Turbo Tax will automatically do that.  To check:

For 2015, go to your paper return and see if there's an entry on line 27.

For 2016, go to your paper return and see if there's an entry on line 27.

For 2017, go to your paper return and see if there's an entry on line 27.

If there are, then you got the deduction.  If not, you'll need to amend.

For 2018, the amount by line 6 of your 1040 totals all your other income.  Line 7 of Form 1040 takes 1/2 of your SS income (from line 27, Schedule 1 + any other adjustments you may have) and subtracts it from your total adjusted gross income (AGI).  It will change as you add or subtract from your business income, because your SE tax will change.

1 Replies
Level 3
Jun 6, 2019 12:09:29 AM

Yes, Turbo Tax will automatically do that.  To check:

For 2015, go to your paper return and see if there's an entry on line 27.

For 2016, go to your paper return and see if there's an entry on line 27.

For 2017, go to your paper return and see if there's an entry on line 27.

If there are, then you got the deduction.  If not, you'll need to amend.

For 2018, the amount by line 6 of your 1040 totals all your other income.  Line 7 of Form 1040 takes 1/2 of your SS income (from line 27, Schedule 1 + any other adjustments you may have) and subtracts it from your total adjusted gross income (AGI).  It will change as you add or subtract from your business income, because your SE tax will change.