Sign Up

Why sign in to the Community?

  • Submit a question
  • Check your notifications
or and start working on your taxes
cancel
Showing results for 
Search instead for 
Did you mean: 
km-king
New Member

My wife received $600 (1099) for instruction at a non-profit This was her only income for the year. Does she owe income and self-employment tax?

 
1 Best answer

Accepted Solutions
MichaelMc
New Member

My wife received $600 (1099) for instruction at a non-profit This was her only income for the year. Does she owe income and self-employment tax?

If your wife has earnings from self-employment of $400 or more, she must file a tax return and pay self-employment tax (the employer's and employee's share of Social Security and Medicare taxes) on that income. This can be done by including her income on a Married Filing Jointly tax return with you or by filing a Married Filing Separately return.

In most cases it is better for a married couple to choose Married Filing Jointly filing status, even if one spouse had little or no income. This allows you the possibility of claiming several tax credits that are disallowed to Married Filing Separately filers. In addition, you benefit from the higher $12,600 Standard Deduction and both (your and your wife's) $4,050 Personal Exemptions.

View solution in original post

1 Reply
MichaelMc
New Member

My wife received $600 (1099) for instruction at a non-profit This was her only income for the year. Does she owe income and self-employment tax?

If your wife has earnings from self-employment of $400 or more, she must file a tax return and pay self-employment tax (the employer's and employee's share of Social Security and Medicare taxes) on that income. This can be done by including her income on a Married Filing Jointly tax return with you or by filing a Married Filing Separately return.

In most cases it is better for a married couple to choose Married Filing Jointly filing status, even if one spouse had little or no income. This allows you the possibility of claiming several tax credits that are disallowed to Married Filing Separately filers. In addition, you benefit from the higher $12,600 Standard Deduction and both (your and your wife's) $4,050 Personal Exemptions.

View solution in original post

Dynamic AdsDynamic Ads
Privacy Settings
v