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Old 04-03-2007, 11:23 PM
bono9763@yahoo.com
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Default Re: Schedule C vs. Other Income

isabelle...[at]fastmail.fm wrote:

- quote -

> I earned about $1000 in 2006 by providing tutoring and
> related services to about 15 different people.
> I heard I can declare those $1000 in Schedule C. I
> understand that the other option is to use the Other Income
> section, perhaps the Hobby Income. My problem is that at
> this day, I do not have a business entity (such as a sole
> proprietorship).
> My question is: can I use Schedule C, despite the fact that
> I do not have a business entity?
> Your help is much appreciated.


You provided services to people and received compensation.
That's called business income and is reported on Schedule C.
You don't need to do anything special (tax-wise) to
establish a business, just earn income, so you are a sole
proprietor in the eyes of the IRS. Your city or state may
have other requirements for establishing a business, but the
IRS will consider you a business and tax you accordingly.

<< ================================================== ===== > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >
 
Old 04-03-2007, 11:23 PM
ed
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Posts: n/a
Default Re: Schedule C vs. Other Income

isabelle...[at]fastmail.fm wrote:

- quote -

> I earned about $1000 in 2006 by providing tutoring and
> related services to about 15 different people.
> I heard I can declare those $1000 in Schedule C. I
> understand that the other option is to use the Other Income
> section, perhaps the Hobby Income. My problem is that at
> this day, I do not have a business entity (such as a sole
> proprietorship).
> My question is: can I use Schedule C, despite the fact that
> I do not have a business entity?


You ARE a sole propriatorship without any formal announcing
of it to anyone. Put your income and expenses on oSchedule
C and then Schedule SE and don't spend what's left in one
place (;> )

<< ================================================== ===== > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >
  #-1  
Old 04-03-2007, 06:26 AM
isabellesup@fastmail.fm
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Posts: n/a
Default Schedule C vs. Other Income

I earned about $1000 in 2006 by providing tutoring and
related services to about 15 different people.

I heard I can declare those $1000 in Schedule C. I
understand that the other option is to use the Other Income
section, perhaps the Hobby Income. My problem is that at
this day, I do not have a business entity (such as a sole
proprietorship).

My question is: can I use Schedule C, despite the fact that
I do not have a business entity?

Your help is much appreciated.

<< ================================================== ===== > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >
 

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