Self employment

[newbie58]

I worked the first 2 1/2 months this year before retiring. But, I am still helping out my old Colorado company as a contract employee. The net income is about $300 per month.

I'm confused about quarterly taxes and tax rates .. I haven't paid a quarterly tax anywhere yet, so I'm guessing I'm behind?

[RPZ1]

Hello,

I will post a good link that will give you the details you are looking for. You should make the payments foe April and June as soon as possible. You might avoid paying a penalty to the IRS by doing so.  https://turbotax.intuit.com/tax-tips/self-employment-taxes/a-guide-to-paying-quarterly-taxes/L6p8C53... The estimated taxes are based on gross pay.

[newbie58]

Thank you .. I may be back! 🙂

[newbie58]

Can I deduct mileage as a business expense if I'm self-employed?

[RPZ1]

That depends on the circumstances. Here are a few more links that will help with that: https://turbotax.intuit.com/tax-tips/small-business-taxes/taking-business-tax-deductions/L5RueYPVS

https://turbotax.intuit.com/tax-tips/small-business-taxes/business-use-of-vehicles/L6hi0zzzh. 

Generally, you are able to deduct the mileage but there requirements to be met.

[newbie58]

Thank you!