Author Topic: self employed llc/opening a sole prop separately for 2019-how to do taxes  (Read 209 times)

zoochadookdook

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Hi all, I run a cash based electronics resale business (and have throughout college). It's fairly small and I have previously done taxes with a 1040ez/turbo tax (write offs have only been shipping, property tax, being a full time student, car miles). Past years I've only tracked gross income (*for example if I paid 500 but sold for 800 that would be +300)

Are there any resources recommended to figure out what exactly I can and can't write off? For instance I haven't written off a home office/internet/ood traveling (40k miles a year) etc? I feel like I've been leaving stuff on the table.

Will turbo tax allow me to combine standard and business taxes on the same returns? I plan on getting a job this year (just graduated in December) but will remain self employed.

Thanks
« Last Edit: January 01, 2019, 07:19:56 PM by zoochadookdook »

Rocketman

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You need I Schedule C for your business. If you are going to do your own taxes, get on www.irs.gov and read the instructions for schedule c. Also read publication 525.  Also read up on 1099ís and look over your expenses and make sure you do not need to send out a 1099 or two (they are due January 31st).

This is why many people get professional help for taxes. If you do get help, find out how much it will cost you first. Get a couple of quotes - they will be all over the place.
Good luck

cchrissyy

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It sounds like you have a lot of gaps in what you need to know to do this right. (no offense!)

I suggest
https://store.nolo.com/products/tax-savvy-for-small-business-savvy.html
https://www.amazon.com/Deduct-Lower-Small-Business-Taxes/dp/141332570X/
or similar

There are plenty of other business expenses you can deduct, but you have to understand how and why to do so, and it all goes on the schedule C of your personal 1040 tax return. Yes you can do it in turbotax and it would be the same return that shows your W2 income.