So, I draw art online, and over the past six months, I've made $1,330.99, and would hypothetically owe $203.64. I just turned 18 this year, so I've never paid taxes before. So if this is my first time paying taxes at all, how does the self-employment tax work?. Everything I've seen on the matter says that I need to pay quarterly self employment tax if i expect to owe more than $1000. Or that my estimated taxes are based on what i made last year. I fit neither of the 2 parameters, so do I still need to pay my quarterly tax?
sorry if this is poorly formatted btw.
First time paying self employment tax help.
byu/Niko-fluffer intax
Posted by Niko-fluffer
1 Comment
You may owe SE tax. You can deduct the cost of materials yourself on Sch C, assuming you have records, and only the profit is taxed.