Filing as sole proprietor

[ms719]

This is the first year of sole proprietor business (DBA not LLC), and I do have an EIN.  Do I have to file two separate tax returns - one personal, one for business - or is there a place to put my EIN on my personal return for business income/expenses?  Do I even need to use the EIN, is there an advantage?  I do have start up costs to deduct.

[xmasbaby0]

 If your business is a S-corps, C-corps, or multi-member partnership then you would prepare a business return and would need TurboTax Business software.  That software can only be used on Windows.

If you are a sole proprietor without those complications, then you file ONE Form 1040 and enter all of your income on the individual tax form on the same Form 1040  (Edited on 12-12-24)

SELF EMPLOYMENT INCOME/“side jobs”

If you have self-employment income for which you will pay self-employment tax for Social Security and Medicare,  you will need to use online Premium software or any version of the desktop software download so that you can prepare a Schedule C for your business expenses.

https://ttlc.intuit.com/questions/2926899-how-does-my-side-job-affect-my-taxes

https://ttlc.intuit.com/turbotax-support/en-us/help-article/form-1099-nec/1099-nec/L5qTsBiSe_US_en_U...

https://ttlc.intuit.com/community/self-employed/help/how-do-i-report-income-from-self-employment/00/...

https://ttlc.intuit.com/community/self-employed/help/what-is-the-self-employment-tax/00/25922

https://ttlc.intuit.com/questions/2902389-why-am-i-paying-self-employment-tax

https://ttlc.intuit.com/questions/1901340-where-do-i-enter-schedule-c

https://ttlc.intuit.com/questions/3398950-what-self-employed-expenses-can-i-deduct

https://blog.turbotax.intuit.com/self-employed/self-employed-tax-deductions-

calculator-2021-2022-50907/

https://ttlc.intuit.com/questions/1901110-do-i-need-to-make-estimated-tax-payments-to-the-irs

If you live in a state with a state income tax, you might need to make estimated payments to your state.

https://turbotax.intuit.com/tax-tools/calculators/self-employed/

https://ttlc.intuit.com/community/business-taxes/discussion/self-employed-don-t-miss-these-tax-moves...

[ms719]

Thank you for your response.  Just to be clear then, I don't even need to input my EIN, and just use my personal SS?

[Opus 17]

If you did not organize as an LLC or something else, your business income and expenses are listed on a form called Schedule C that is attached to the rest of your tax return, and your profit from schedule C flows to your form 1040 where it is combined with your other income (wages, gambling, pension, etc) and your personal deductions, to calculate your overall tax.

If you have an EIN, you will include that on your schedule C.  The IRS won't be confused because the EIN is linked to your SSN.  Having an EIN is good practice, because it means you don't have to give your personal SSN to vendors or clients.