JKCBrown Posted March 1, 2007 Share Posted March 1, 2007 I'm in VA. I have the business license, pay sales tax, and even though I don't have any employees, I have the FEIN. Now, I'm wondering about Federal Withholding Tax, and stuff like Medicaid... can anyone help me? Do I need to register to pay this? Do I EVEN need to pay these since it's just me!? I thought I would just need to pay sales tax.. but now, I'm not sure... I don't want to get in trouble, certainly not with the IRS, so any help, advice, or suggestions would be appreciated!!!TIA!~Kristen~ Quote Link to comment Share on other sites More sharing options...
Beth-VT Posted March 1, 2007 Share Posted March 1, 2007 You don't really need the FEIN unless you have employees. You can just use your SSN. But if you've got it, it's ok to use it. As for the rest, are you giving yourself an actual paycheck? Quote Link to comment Share on other sites More sharing options...
RobinInOR Posted March 1, 2007 Share Posted March 1, 2007 If you've registered for an EIN, the govt will start sending you forms requesting payment of those employee taxes. You'll need to send the forms back and mark them as "nothing due, no employees" or some such verbage.The other taxes you'll need to pay besides sales tax are income taxes on your income, and self employment tax if you net over $400 - usually done through a Schedule C and SE added to your personal 1040 (unless you've gone to a more complex corporation type of business). Quote Link to comment Share on other sites More sharing options...
JKCBrown Posted March 2, 2007 Author Share Posted March 2, 2007 I don't write myself out a check... I'm not in any kind of shop or anything, just my home. For self employment net over $400, that would be after supplies, etc. right? I just did a Schedule C this year on my taxes, b/c it was my first year doing this, and I honestly didn't make $400 after all of my supplies and other costs. I didn't write my gas mileage off last year, but I want to this year b/c business is picking up for me and I make deliveries at least 2 -3 times a week. For stuff like income taxes and stuff, do you just estimate what to pay or is there a process to find out? And, when you go to file taxes at the end of the year, does the IRS send you something like a W-2? Sorry for all the questions... I'm still trying to figure this part of it all out! Thanks for the help!!!~Kristen~ Quote Link to comment Share on other sites More sharing options...
sudsnwicks Posted March 2, 2007 Share Posted March 2, 2007 For the $400 threshold, yes it would be after expenses such as supplies. The IRS won't send you any W-2. To pay quarterly estimated taxes, the estimate could be based on what you paid the previous year i.e. take the previous year's total divided by 4. Since there is no previous year for you, you could just wait until there is a tax payable before you start sending in estimated quarterly payments for the next year. Quote Link to comment Share on other sites More sharing options...
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