When you are an independent contractor receiving a 1099 for income paid to you, it can be difficult to figure out what your options are regarding taxes.
Independent contractor taxes can be managed when you understand what your choices are, what taxes need to be paid, and what tax forms need to be filed.
At Makara and Associates, we are here to walk you through the potential pitfalls and tax strategies that are available to you. Being prepared at year-end will save time and the heartache of owing a large amount of taxes when you’re not expecting it.
There are six things you should do when you are an independent contractor:
- Determine Your Independent Contractor Status
- Contact a Tax and/or Legal Professional
- Set Up a Separate Business Bank Account
- Know Your Business Expenses
- Know Your Business Deductions
- Be Prepared for Filing the 1st Year of Tax Returns as Independent Contractor
If you have questions, feel free to contact Makara and Associates online or call our Naples Office at (239) 384-9688, or our Fort Myers Office at (239) 768-5008.
Watch for our new eBook which will be released shortly, or follow our blog. We’ll be reviewing each of your options thoroughly.
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-Mark
This information is based on facts, assumptions and representations as stated and authorities that are subject to change. We will not update this information for subsequent legislative or administrative changes of future judicial interpretations.
LEGAL NOTICE AND DISCLAIMER: The information within this blog is for informational and educational purposes only and is not tax advice and should not be used as such. The facts of each individual situation can have significantly different outcomes when applying tax law. The hiring of a CPA is an important decision not to be based solely on advertisements.
