Hi I need some Advice:

I am a current F-1 Student (since Jan 2002)
Nationality - Indian

I received a 1099 Misc form one employer (independent contractor). I told the employer about my status as a F-1 student, and even though I did not take any special classes to allow me to work off - campus, I was assured that their accountant would take care of it.

I have just recently received a 1099 Misc for $3355 that I earned. There is no withholding tax of any kind on this income. I am aware that I have to pay taxes on this amount.

Kindly advise:
1. Is there any kind of deductions I can claim?
2. What is the percentage of tax I need to pay for the income reported on 1099-MISC? ($ 3,355).


Gratefully Yours,

John

John:

Is that your only source of income (I don't think so based on some of the comments above, but I need to know)? I cannot answer the percentage question until I know all sources of income.

As for the deductions, it depends on the nature of your work.

That was my only source of income for the year from working. I worked as a Tutor - helping 3 and 5 graders students with English and Math.

John:

You can claim mileage to and from the students' homes to do the tutoring if you drove. If you took a bus or subway, the bus/subway fare is deductible. If you bought any books or supplies to facilitate the tutoring, you can claim those costs. All of these expenses are detailed on Schedule C.

Since you are on a F-1 visa, you do not have to pay self-employment taxes. Since you have a $3,200 personal exemption, you need only show $155 in deductible expenses on the Schedule C and you will owe zero taxes.