Ask Experts Questions for FREE Help !
Ask
    crua9's Avatar
    crua9 Posts: 1, Reputation: 1
    New Member
     
    #1

    Jan 8, 2011, 11:39 AM
    1099-Misc taxes and deductions?
    I'm working as a freelancer in USA and most of my projects I higher other freelancers to do my work. I tend to pay them around 40% of what I make or lower. For example, I worked as a SEO and I was paid $750 for the job and I paid someone $200. Another job I was paid $300 and I paid someone $75. Being that I have to use my computer, phone, etc for almost all my work, I was wondering if I will get a deduction on those objects and I was wondering if I get a deduction for hiring these other freelancers to do the job and without most of them it wouldn't had happen

    I just started doing this real recently so hypothetically, by the end of the year if I'm paid $15k by someone in America and I pay people in America over all 30% ($4500) of that then what will I have to pay on taxes?

    I use freelancer.com to find my work and I only use guru.com to hire people since it makes the taxes forms and sends them out for me. And if gives me everyone W-9 forms that works for me.

    Also, some of the money I already got this year was from people in other countries like Australia. They paid me over $600, so do I have to worry with a 1099 since they are in another country? On top of that I higher someone in that area and also India. Is there any tax forms I got to deal with since they were freelancers in other countries?

    Thank you a bunch. I'm doing this so I can save up for my own place and I don't want the IRS to hound me when I'm just trying to live a good life.
    MukatA's Avatar
    MukatA Posts: 7,110, Reputation: 176
    Tax Expert
     
    #2

    Jan 9, 2011, 09:35 AM

    You will report your income and business related expenses on schedule C or C-EZ (Form 1040). Then you put net income (or loss) on line 12 of Form 1040. This income is subject to SE tax at 15.3% (this is shown on line 57 of Form 1040). Your U.S. Tax Return: Tax Filing by Self Employed Sole Proprietor or Independent Contractor

Not your question? Ask your question View similar questions

 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

1099 Misc - deductions [ 9 Answers ]

I am a cosmetologist and received a 1099 misc from my employer. What can I claim as deductions?

1099 MISC deductions, tax professional? [ 1 Answers ]

I currently work as a pediatric resident (in-training). As part of a contract I entered in with another hospital administration, I am receiving additional stipend income besides my salary and am receiving a 1099-MISC form for my taxes. The contract states that if I do not sign with a particular...

1099-MISC work expense deductions [ 2 Answers ]

I have a main job which withheld taxes for 2007. I also received non-employment compensation (on a 1099-MISC) from another company. I am wondering how and if I can deduct expenses that I incurred for my 1099-MISC job. I stated my deductions on the "itemized deductions" form, but the only place...

1099-Misc taxes and deductions [ 3 Answers ]

I am contacting you to find out if you can help me with 1099-MISC tax filing and deductions ? I just started working as an independent contractor. They will pay me every month without deducting any kind of taxes and I will be responsible to pay all kind of taxes.They said they will provide me...

1099-MISC deductions [ 1 Answers ]

I received a 1099-MISC with income earned in Box 7. Aparently this kind of income is not taxed at source at all, so there is a lot of tax on it. Can I claim any kind of deductions on this and how? If anyone has the answer asap, that would be great. Thanks.


View more questions Search