Aron Govil answers FAQs on filing your US taxes as a freelancer or independent contractor
Do you have questions about how to file your US taxes as a freelancer or independent contractor? asks Aron Govil.
This article provides answers to some of the most common questions asked by freelancers and independent contractors.
Q: What is the difference between a freelancer and an independent contractor?
A: A freelancer is someone who offers services to clients on a project-by-project basis, while an independent contractor is someone who works for themselves, rather than for a company or another individual. Freelancers typically invoice their clients for services rendered, while independent contractors are typically paid in cash or through a check.
Q: Do I need to file US taxes as a freelancer or independent contractor?
A: If you earn income as a freelancer or independent contractor, you are required to file US taxes. However, you may be able to reduce your tax liability by claiming any applicable deductions and credits.
Q: What deductions and credits can I claim as a freelancer or independent contractor?
A: There are many deductions and credits available to freelancers and independent contractors, including the self-employment tax deduction, the home office deduction, and the business use of your car deduction. Be sure to consult with a tax professional to find out which deductions and credits are available to you.
Q: How do I file my taxes as a freelancer or independent contractor?
A: You can file your taxes as a freelancer or independent contractor using either the Form 1040 or the Form 1040-ES. Be sure to consult with a tax professional to determine which form is best for you says Aron Govil.
Q: What is the self-employment tax?
A: The self-employment tax is a tax that self-employed individuals must pay on their net income. This tax helps to fund Social Security and Medicare.
Q: I am a US citizen living abroad. Do I need to file US taxes?
A: If you are a US citizen living abroad, you are still required to file US taxes. However, you may be able to claim certain deductions and credits that are available to US citizens living abroad.
Q: I am an international student studying in the US. Do I need to file US taxes?
A: If you are an international student studying in the US, you are required to file US taxes. However, you may be able to claim certain deductions and credits that are available to students.
Q: I am a non-resident alien living in the US. Do I need to file US taxes?
A: If you are a non-resident alien living in the US, you are required to file US taxes. However, you may be able to claim certain deductions and credits that are available to non-resident aliens.
Q: I am a green card holder living in the US. Do I need to file US taxes?
A: If you are a green card holder living in the US, you are required to file US taxes. However, you may be able to claim certain deductions and credits that are available to green card holders.
Q: I am a US citizen living in Canada. Do I need to file US taxes?
A: If you are a US citizen living in Canada, you are require to file US taxes. However, you may be able to claim certain deductions and credits that are available to US citizens living abroad explains Aron Govil.
Q: I am a Canadian citizen living in the US. Do I need to file US taxes?
A: If you are a Canadian citizen living in the US, you are not require to file US taxes. However, you may want to consider filing a tax return to claim any applicable deductions and credits.
Q: I am a self-employed individual. Do I need to file US taxes?
A: If you are a self-employed individual, you are required to file US taxes. However, you may be able to reduce your tax liability by claiming any applicable deductions and credits.
Q: What is an IRS audit?
A: An IRS audit is a process in which the Internal Revenue Service (IRS) reviews your tax return to ensure that it is accurate and complete. If the IRS finds issues with your return, they may audit you.
Conclusion:
Aron Govil says As a freelancer or independent contractor, you are require to file US taxes. However, you may be able to reduce your tax liability by claiming any applicable deductions and credits. Be sure to consult with a tax professional to find out which deductions and credits are available to you. You can file your taxes as a freelancer or independent contractor using either the Form 1040 or the Form 1040-ES. The self-employment tax is a tax that self-employed individuals must pay on their net income. This tax helps to fund Social Security and Medicare. If you are a US citizen living abroad, you are still required to file US taxes.