Hello,

I will be an taking on an independent contractor position with an at-home call center company. This will be a part-time job. I have never been an independent contractor before and want to make sure I don't get myself in trouble or receive a big tax bill.

Do I need to let the IRS know, or make a payment to the IRS at this time? Should I just wait till I get my 1099-MISC early next year?
Is it important to receive a tax ID or should I just use my SS #?
Since this is an at-home call center, would I be able to take a deduction on my telephone line, it is a residential line, and my DSL?

I know it almost a year before I would get my 1099-MISC, but again, I want to make sure I have everything in line.

Thanks,
Derek

Kep accurate records and report your income at the proper time.

Derek:

The accurate record post from Tickle is important; heed it.

You do NOT need to get a tax ID #; your SSN will do just fine.

Put about one-third of your gross income in the bank to pay taxes when the time comes. After this year, you should expect to pay quarterly estimated taxes, but, for this year, you can wait until you file in 2008 to pay the taxes.