The people I clean for pay me in cash each week
Can I file taxes or no I make about 800 a month
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You are required to report your income and pay income tax even if you do not get tax paperwork from your clients. You are expected to keep accurate business records of your income and your expenses. You use these records to prepare your tax return, using the links and information provided above.
Be aware that if you are audited, the IRS does not have to give you credit for any expenses that you can't prove. Keeping track of your expenses is vitally important when you are self-employed because it is the best way to reduce your net profit subject to tax. An accounting record book, or accounting software, where you keep track of all of your expenses as they happen, is usually the best way to do this. Keeping your receipts is also certainly a good idea. You should keep your receipts and your accounting records for at least three years, and seven years is better. If you know your expenses for this year, you can deduct of them even if you don't have receipts, but you are at some risk in case you are audited. Remember that your expenses include not only supplies, but also some or all of your mileage driving between different clients. You may also be able to expense or depreciate any equipment that you buy for the business.
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what do I need to file
@Tambino45 You have posted to a thread that is at least two years old and your question is very vague. Could you please provide some details so we know what you are really asking about?
I clean houses self employed I did taxes in 18 I lost all my paper work but I didn't work more than 15 he a month due to my corporal tunnel has gotten bad I get 771 monthly from disability for that helps iut but I need the extra money to even out my Bill's I'm now not able to cover my bill due to the coding 19
Do you have a question about filing tax returns?
When I am finalizing the CA return I get a message that I need an LLC1. Do I need to register my business for the cash and 1099Misc income I reported if I only did housecleaning work for one year? What to do.in this case. It is not a business that I own, it was side work I did because I couldn't find a job in my field.
This is the first year I have worked on my own and not for a company. My business is very small, as I only clean 1 to 2 peoples houses a week. I know it seems crazy but they pay me well. I would like to file taxes, but all I have record of is the amount in cash that I am paid each week. I am new to this so I did not keep in mind to save all my receipts for products, although I have saved nearly every gas receipt. Can I still file without the receipts for expenses? I do not want to get in trouble... And I know this has probably been answered, but if I do file with only the cash amount paid recorded, what should I file as and on what papers?
Thanks a bunch,
Chelsea from Louisiana
Well Online is now closed so you need to use the Desktop CD/Download program here, you can buy any version but Home & Business has the most help for you.
https://turbotax.intuit.com/personal-taxes/cd-download/
You need to report all your income even if you don't get a 1099Misc. You use your own records. You are considered self employed and have to fill out a schedule C for business income. You use your own name and ssn or business name and EIN if you have one. You should say you use the Cash Accounting Method and all income is At Risk.
After it asks if you received any 1099Misc it will ask if you had any income not reported on a 1099Misc. You should be keeping your own records. Just go through the interview and answer the questions. Then you will enter your expenses.
FOR 2019
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.
The SE tax is already included in your tax due or reduced your refund. It is on the 1040 Schedule 2 line 4 which goes to 1040 line 15. The SE tax is in addition to your regular income tax on the net profit. You do get to take off the 50% ER portion of the SE tax as an adjustment on 1040 Schedule 1 line 14 which flows to 1040 line 8a. Turbo Tax automatically calculates the SE Tax and Adjustment.
For 2019 Schedule C Net Profit or Loss now goes to 1040 Schedule 1 line 3. Then the total on schedule 1 line 9 goes to 1040 line 7a.
Here is some IRS reading material……
IRS information on Self Employment
http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Self-Employed-Individuals-Tax-Center
Pulication 334, Tax Guide for Small Business
http://www.irs.gov/pub/irs-pdf/p334.pdf
Publication 535 Business Expenses
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