Tax

Have a Tax Question? Ask a Tax Expert

Ask an Expert,
Get an Answer ASAP!

Tax

1099....how much should I estimate in taxes and what can I write off

Customer Question
I am begining a career...
I am begining a career as a loan officer and will be receiving a 1099 for my commissions. Do I need to estimate quarterly taxes and if so, how much? Also, what am I allowed to write off as a business expense?
Submitted: 11 years ago.Category: Tax
Show More
Show Less
Ask Your Own Tax Question
Answered in 10 minutes by:
7/19/2006
Tax Professional: Lev, Tax Advisor replied 11 years ago
Lev
Lev, Tax Advisor
Category: Tax
Satisfied Customers: 30,724
Experience: Taxes, Immigration, Labor Relations
Verified

Do you have other income besides this?


What gross income do you expect?


Whar are expenses in connection with this business do you expect?


What is your filing status - married/single? any dependents?

Ask Your Own Tax Question
Customer reply replied 11 years ago
Reply to Lev's Post: 1. I have no other income besides this.

2. I am estimating my gross income to be $300,000

3. In terms of expenses, I'm wondering what is generally considered and what is, maybe a stretch. I purchased a car when I first started this job, internet access, faxing, office supplies, etc. What receipts should I be saving...lunches, gas, make-up and nail services? I hope you can see where I'm going with this.

4. Single with no dependents
Tax Professional: Lev, Tax Advisor replied 11 years ago

Let first estimate your taxes.


Assuming you would have $20,000 expenses and net income $280,000.


Self-employment taxes



  • 15.3% for first $94,200 - $14413

  • 2.9% for ($280,000-$94,200) - $5,388

Total SE taxes - $19,801.


Adjasted Gross Income $280,000 - ($19,801/2)= $270,100


Assuming you will have standard deduction your taxes will be $72,944


Total tax - $92,745.


You need to pay estimate tax. Form 1040es should be filled - http://www.irs.gov/pub/irs-pdf/f1040es.pdf Be aware that the firt payment is due on April 15, 2006.


California taxes will be ~$23,000 and you need to pay estimate taxes as well. Here ares a form and instructions to be filled:



Because of large state taxes you will probably use itemize deductions and you actual federal taxes will be lower. You may deduct your mortgage interest, real estate and property taxes, charitable contribution etc.


You may consider some kind retiremet plan to reduce tax presure. Also medical insurance cost would be deductible.


Sorry, nail services are not deductible. Lunches might be deductible if the customer is invited and you pay. Travel expenses are deductible if traveling for business. I feel that you need to be familiar with IRS publication 535 to be aware what are deductible expenses - http://www.irs.gov/pub/irs-pdf/p535.pdf

Lev
Lev, Tax Advisor
Category: Tax
Satisfied Customers: 30,724
Experience: Taxes, Immigration, Labor Relations
Verified
Lev and 87 other Tax Specialists are ready to help you
Ask your own question now
Ask Lev Your Own Question
Lev
Lev
Lev, Tax Advisor
Category: Tax
Satisfied Customers: 30,724
30,724 Satisfied Customers
Experience: Taxes, Immigration, Labor Relations

Lev is online now

A new question is answered every 9 seconds

How JustAnswer works:

  • Ask an ExpertExperts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional AnswerVia email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction GuaranteeRate the answer you receive.

JustAnswer in the News:

Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.

What Customers are Saying:

I really was impressed with the prompt response. Your expert was not only a tax expert, but a people expert!!! Her genuine and caring attitude came across in her response...

T.G.WMatteson, IL

I WON!!! I just wanted you to know that your original answer gave me the courage and confidence to go into yesterday's audit ready to fight.

BonnieChesnee, SC

Great service. Answered my complex tax question in detail and provided a lot of additional useful information for my specific situation.

JohnMinneapolis, MN

Excellent information, very quick reply. The experts really take the time to address your questions, it is well worth the fee, for the peace of mind they can provide you with.

OrvilleHesperia, California

Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help.

Mary C.Freshfield, Liverpool, UK

This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!!

AlexLos Angeles, CA

Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult.

GPHesperia, CA

< Previous | Next >

Meet the Experts:

Wallstreet Esq.

Wallstreet Esq.

Tax Attorney

586 satisfied customers

10 years experience

Mark D

Mark D

Enrolled Agent

1,312 satisfied customers

MBA, EA, Specializing in Business and Individual Tax Returns and Issues

Richard

Richard

Tax Attorney

4,362 satisfied customers

29 years of experience as a tax, real estate, and business attorney.

Robin D.

Robin D.

Senior Tax Advisor 4

14,120 satisfied customers

15years with H & R Block. Divisional leader, Instructor

Megan C

Megan C

Certified Public Accountant (CPA)

8,652 satisfied customers

Licensed CPA, CFE, CMA, CGMA who teaches accounting courses at Master's Level

jgordosea

jgordosea

Enrolled Agent

2,885 satisfied customers

I've prepared all types of taxes since 1987.

R. Klein, EA

R. Klein, EA

Enrolled Agent

1,839 satisfied customers

Over 20 Years experience

< Previous | Next >

Related Tax Questions
Am I going to be able to deduct business expenses, such as
Am I going to be able to deduct business expenses, such as mileage etc. as a 1099 employee. I am a salesperson and have a home office. … read more
Barbara
Barbara
Enrolled Agent, Paralegal
3,811 satisfied customers
How does applying the standard deduction, or any itemized
how does applying the standard deduction, or any itemized deductions, impact your federal tax bracket? the top end of the 15% tax bracket is $75,900 for married filing jointly and the standard deducti… read more
Carter McBride
Carter McBride
LLM
269 satisfied customers
Ministers Housing/Self-Employment After form 4361 is
Ministers Housing/Self-Employment After form 4361 is approved by IRS, I need to go back and file form 1040X to amend my return, where I paid self-employment tax.Let's say form SE showed $5,000 in self… read more
Lev
Lev
Tax Advisor
30,724 satisfied customers
Does the new (in effect 01-01-2018) standard deduction for
Does the new (in effect 01-01-2018) standard deduction for couples of $24,000. apply to 2017 tax prep? … read more
emc011075
emc011075
Senior Tax Specialist
Bachelor's Degree
16 satisfied customers
Please let me know what is the standard deduction on the
Hi. Please let me know what is the standard deduction on the 1040 form for 2017 for a single person with no dependents. This is for a friend. This is in California. Thank you.… read more
NPVAdvisor
NPVAdvisor
CFP Licensee and Practitioner
Master's Degree
180 satisfied customers
My wife is and OTR driver can we claim standard deduction
My wife is and OTR driver can we claim standard deduction and her per diem both? she is paid by 10-99 … read more
Lev
Lev
Tax Advisor
30,724 satisfied customers
I know I can only deduct charitable contributions equal or
I know I can only deduct charitable contributions equal or less to 50% of my AGI. I also know that I can carry forward excess contributions. My question is, can I carry BACK excess contributions? I al… read more
NPVAdvisor
NPVAdvisor
CFP Licensee and Practitioner
Master's Degree
180 satisfied customers
My total self-employment tax of $2,826 is comprised of
My total self-employment tax of $2,826 is comprised of $2,290 Social Security tax and $536 Medicare tax. I file single. Paid 4500 in health ins premiums Paid about $5500 (deductible never ran out) med… read more
Barbara
Barbara
Enrolled Agent, Paralegal
3,811 satisfied customers
Is there a form to file with the IRS for tax periods that
Is there a form to file with the IRS for tax periods that have ran past the statute of limitations from the date of assessment … read more
Lev
Lev
Tax Advisor
30,724 satisfied customers
Are non insurance covered medical expenses deductible? Are
are non insurance covered medical expenses deductible? … read more
abci168
abci168
Principal
27 satisfied customers
The 2018 tax law will allow homeowners to deduct property
The 2018 tax law will allow homeowners to deduct property taxes and either income or sales taxes with a combined limit on these deductions being limited to no more than $10,000. What does this mean? w… read more
Robin D.
Robin D.
Senior Tax Advisor 4
Vocational, Technical or Trade School
14,120 satisfied customers
If my gross income is 30000, not married and no dependents,
If my gross income is 30000, not married and no dependents, can you tell me approximately how much I would expect to pay in federal tax, state tax and SS? … read more
Lev
Lev
Tax Advisor
30,724 satisfied customers
Is the deduction for medical expenses on Schedule A repealed
Is the deduction for medical expenses on Schedule A repealed under the new tax law & can health insurance premiums for a Schedule C proprietor still be deducted on page 1 of Form 1040?… read more
Robin D.
Robin D.
Senior Tax Advisor 4
Vocational, Technical or Trade School
14,120 satisfied customers
Self employed, Im wondering if inmigration uses gross income
Self employed, Im wondering if inmigration uses gross income or net income for their figures... I make about 70,000 gross income on 1099 but after deductions net income is about 32,000.. we are a fami… read more
Lev
Lev
Tax Advisor
30,724 satisfied customers
Form 886-A Deductible Home Mortgage Interest Taxpayer has
Form 886-A Deductible Home Mortgage Interest Taxpayer has $1,000,000 in Grandfathered debt. Line 9 Form 886-A - is this line amount after deducting the garandfathered debt… read more
NPVAdvisor
NPVAdvisor
CFP Licensee and Practitioner
Master's Degree
180 satisfied customers
Can you write off mortgage interest on a vacation home the
can you write off mortgage interest on a vacation home the home price 54000.00 … read more
Robin D.
Robin D.
Senior Tax Advisor 4
Vocational, Technical or Trade School
14,120 satisfied customers
How to handle a deduction for a charitable contribution for
How to handle a deduction for a charitable contribution for art given by the artist or creator of that piece of artwork? This refers to the "materials only" or cost of materials only caveat to the ded… read more
Lev
Lev
Tax Advisor
30,724 satisfied customers
My question is about writing off travel expenses.. I am a
My question is about writing off travel expenses.. I am a self employed internet marketer, and am wanting to start a new project (building a video sales page) to do this I need to shoot pictures and v… read more
Robin D.
Robin D.
Senior Tax Advisor 4
Vocational, Technical or Trade School
14,120 satisfied customers
Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.

Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.

Show MoreShow Less

Ask Your Question

x