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    Accounting: Self-Employment Tax Requirements

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    The attached Microsoft Word file contains detailed information and sources in regards to the U.S Government's Internal Revenue Service's Self Employment (SE) Tax.

    © BrainMass Inc. brainmass.com December 24, 2021, 10:50 pm ad1c9bdddf
    https://brainmass.com/business/accounting/accounting-self-employment-tax-requirements-511324

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    Who Must File Schedule SE

    According to current Internal Revenue Service regulations, "as a self-employed tax payer, individuals must pay Self-Employment tax if net earnings were greater than $400", with "anyone in business is considered to be self-employed." As a self-employed individual, you "must also pay SE tax on your share of certain partnership income and your guaranteed payments".

    Please review the attached PDF file entitled "Schedule SE" Form 1040" to determine whether or not you need to Short Schedule SE or Long Schedule SE. If "the total of your wages and tips subject to social security or railroad retirement (tier 1) tax plus your net earnings from self-employment [was] more than $110,100", you will need to file a Long Schedule SE, otherwise the Short Schedule SE will suffice. Both, the Long and Short Schedule SE forms for 2012 are contained within this PDF file.

    I have also attached to this post a second PDF file entitled "2012 Instructions for Schedule SE," which will provide you with additional information on the subject of the Self-Employment Tax.

    Reference:
    http://www.irs.gov/instructions/i1040sse/ch01.html

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    © BrainMass Inc. brainmass.com December 24, 2021, 10:50 pm ad1c9bdddf>
    https://brainmass.com/business/accounting/accounting-self-employment-tax-requirements-511324

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