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I've just incorporated and am providing travel medical work to various hospitals.Incorporated - means creating a corporation.The corporation si a separate legal and taxing entity and files its own tax return.Please verify if your statement is correct.Trying to figure out how much to withhold per paycheck to pay my quarterly taxes.
I assume that you are asking about YOUR estimate payments - correct?Or you meant estimate payments made by the corporation.
If you have a single member LLC and have not specifically elected it to be treated as a corporation - it would be non incorporated entity.
So for income tax purposes - that is disregarded entity - means - it is ignored as there were no any LLC.
For other purposes - including liability - that is a separated legal entity.
So - you personally will be liable for any profit realized by the LLC regardless if there is a separate bank account and regardless how the money are used.
You will report business income and expenses on your personal tax return - and net income will be subject to both - self-employment and federal income taxes plus state tax liability (depending on your state).
So to estimate your expected tax liability - we need to know your NET business income (after all deduction.That amount of net business income is subject to both - income tax and self-employment tax.Self-employment taxes are 15.3% for most self-employed persons.Income taxes are based on TOTAL income, filing status, deductions, etc. As a rough estimation - we may use 15% of your net business income.So without any other details - I would say - to keep at least 30% of your net business income to cover possible tax liability.If you are looking for quarterly estimate taxes - divide that amount in four equal parts - and that would be your payments.To make more detailed estimations - we would need to use your expected income, deductions - business deductions and separately - personal deductions, and estimate your expected tax liability.Any questions?.I appreciate if you take a moment to rate the answer.Experts are ONLY credited when answers are rated positively.If you still have any doubts, need clarification - please be sure to ask.I am here to help you will all tax related issues.