How Do You Show Income If You Are Self Employed
Are you wondering how do you show Income when you are self employed?
Well here are the 5 main ways:
1. Form 1099-MISC is a form issued to you from businesses and/or people who you’ve performed a service for and received $600 or more in total for the year. This is usually through an Independent Contractor arrangement.
2. When you’re Self-Employed or have an LLC solely owned by you (and is not taxed as an S-Corporation), you will be filing an IRS Form called Schedule C for your business. Schedule C will list all of your Revenue and your Expenses broken down by various categories.
3. Your Profit & Loss Report also known as your P&L is a report that you can populate through your bookkeeping software. (Please tell me you’re using bookkeeping software
4. A W-2 issued from your own C-Corporation (yes, you are an employee to your own C-Corp
5. Your Bank Statements from your business account (please tell me your have a business account for your business and that you’re not mixing business and personal transactions from your personal account
Do you subscribe to my YouTube channel? You can find helpful videos that will help you in your business.
Btw…are you planning to prepare and file your own taxes? Hurry and go purchase my Masterclass ($27 and tax deductible) so you can learn all about How to File Taxes As Self Employment.
As a Tax Strategist, Consultant and Educator, I’ve been helping other Entrepreneurs (and Individuals) around the U.S. just like you, save thousands of their hard-earned tax dollars, increased their refunds, and solve multiple tax problems. Beyond taxes, I am your “GPS” to starting and growing your own business. Be sure to download my ebook Taxes & The New (or “Early-Stage”) Entrepreneur: What You Need to Know