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Income and expenses of an independent contractor are reported on Schedule C and the net profit is subject to self-employment tax as well as regular income tax.
When it comes to car expenses you have a choice between standard mileage deduction (about 55c per mile) or actual expenses.
Here's schedule C: https://www.irs.gov/pub/irs-pdf/f1040sc.pdf
and instructions: https://www.irs.gov/pub/irs-pdf/i1040sc.pdf
You will also need Schedule SE if you claim a profit: https://www.irs.gov/pub/irs-pdf/f1040sse.pdf
You can write off all necessary expenses associated with generating self-employment income. If schedule C does not have a specific line, use the "other expenses" section.
Every time you are getting paid for performing services to others (other than your employer) you are considered to be working for yourself as self-employed or independent contractor. A babysitter working for several families is independent contractor, a freelancer for newspaper is independent contractor, a translator, consultant, basically everybody who sell his or her services for a compensation is a contractor. Virtually everybody who does not take orders from an employer is an contractor. For some contractors a license is essentials (traveling nurse or plumber for instance) and some does not need any license. It depends on industry standards.
Make sense? Independent contractor is not a title or something you need to apply for. It is a classification, like employee or shareholder.