Hi,
My high school kid (16 yr) worked as summer intern in Summer 2023 and received a check with her name for $900.
No state or Federal taxes were with held from the check.
In Jan'2024 she received a form 1099-NEC for the $900.
In April'2024 I helped her file her own taxes. Used freetaxusa.com online for taxes.
On the federal taxes reported this $900 as Additional Income.
Used Schedule C and reported this summer internship income $900. Used her personal name, since there is no official business name.
Used Schedule 1 , line 3 to report this as additional income.
Used Schedule SE for Self Employment (SE) taxes $127 due ( to be paid to Federal iRS).
End of the year we had to pay $127 federal tax while filing taxes in April 2024.
There were zero state taxes ( Illinois ) due.
Now this year for Summer 2024, my daughter worked as summer intern and received same $900 and I'm sure in Jan'2025 she will receive form 1099-NEC
Questions:
Since we are reporting her income as "Self employed" does she need to pay quarterly advance tax payments ?
Since she received her check in July 2024 for $900, does she need to pay advance quarterly tax payment $127 by September 16th 2024 ( 3rd quarter 2024 due date ) ?
or since she doesn't owe more than $1000 in taxes, she doesn't need to worry about advance tax payments ?
Thanks for your time.
My high school kid (16 yr) worked as summer intern in Summer 2023 and received a check with her name for $900.
No state or Federal taxes were with held from the check.
In Jan'2024 she received a form 1099-NEC for the $900.
In April'2024 I helped her file her own taxes. Used freetaxusa.com online for taxes.
On the federal taxes reported this $900 as Additional Income.
Used Schedule C and reported this summer internship income $900. Used her personal name, since there is no official business name.
Used Schedule 1 , line 3 to report this as additional income.
Used Schedule SE for Self Employment (SE) taxes $127 due ( to be paid to Federal iRS).
End of the year we had to pay $127 federal tax while filing taxes in April 2024.
There were zero state taxes ( Illinois ) due.
Now this year for Summer 2024, my daughter worked as summer intern and received same $900 and I'm sure in Jan'2025 she will receive form 1099-NEC
Questions:
Since we are reporting her income as "Self employed" does she need to pay quarterly advance tax payments ?
Since she received her check in July 2024 for $900, does she need to pay advance quarterly tax payment $127 by September 16th 2024 ( 3rd quarter 2024 due date ) ?
or since she doesn't owe more than $1000 in taxes, she doesn't need to worry about advance tax payments ?
Thanks for your time.
Statistics: Posted by johnpau — Mon Aug 05, 2024 10:43 pm — Replies 3 — Views 327