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tigger22472

Senior Member
I am an independent contractor with a newspaper company.

Taxes are not taken from my checks.

I have most.. of my check stubs (but not sure I have them all; I'm better organized now then the beginning).

I know I can deduct certain things like my car payment, insurance, gas, and even my cell phone but what do I need to take to file my taxes?

Do I have to take every statement from my insurance co. for the year? All gas reciepts and statements of other things?
 


LdiJ

Senior Member
tigger22472 said:
I am an independent contractor with a newspaper company.

Taxes are not taken from my checks.

I have most.. of my check stubs (but not sure I have them all; I'm better organized now then the beginning).

I know I can deduct certain things like my car payment, insurance, gas, and even my cell phone but what do I need to take to file my taxes?

Do I have to take every statement from my insurance co. for the year? All gas reciepts and statements of other things?
You should get a 1099 from the newspaper company. That verifies your gross income.

The appropriate way to handle transportation expenses is by mileage rather than by actual expenses...why?..because mileage takes into consideration wear and tear on the vehicle rather than pure expenses.

For 2005 the mileage rate is 40.5 cents per mile for mileage prior to 9/1/2005, and 48.5 cents for mileage after 9/01/2005. Unfortunately, I doubt if you kept a proper mileage log.

However, if you have a fixed route it may be possible to safely recalculate your mileage for the year.

Go see a professional tax preparer, preferibly an enrolled agent.

Beginning immediately, get yourself a mileage log or a simple notebook. Every time you get in the car for business purposes note the beginning oddometer reading and the ending reading when you are finished....and calculate the total miles for the time period.
 

tigger22472

Senior Member
LdiJ said:
You should get a 1099 from the newspaper company. That verifies your gross income.

The appropriate way to handle transportation expenses is by mileage rather than by actual expenses...why?..because mileage takes into consideration wear and tear on the vehicle rather than pure expenses.

For 2005 the mileage rate is 40.5 cents per mile for mileage prior to 9/1/2005, and 48.5 cents for mileage after 9/01/2005. Unfortunately, I doubt if you kept a proper mileage log.

However, if you have a fixed route it may be possible to safely recalculate your mileage for the year.

Go see a professional tax preparer, preferibly an enrolled agent.

Beginning immediately, get yourself a mileage log or a simple notebook. Every time you get in the car for business purposes note the beginning oddometer reading and the ending reading when you are finished....and calculate the total miles for the time period.
I ran this a bit last year (different sort of route) but didn't make anything so not even enough where I had to file but if I remember correctly I asked about the 1099 and told they did not give those.. not sure

I run about 112 miles a night... To tell you exactly when I started would be hard because I ended the other route sometime in April (and I don't have any of those stubs) and filled in this one for the guy who used to run it (he was required to pay me through his income) then I think it was Aug. or Sept. when I took it full time.

Would I need a private tax preparer or would I be safe with H&R Block or the like, which I usually go to?
 

LdiJ

Senior Member
I was hoping it wasn't something that complicated....sigh...

Tig...PM me. If they pay you they have to either issue a W2 (which means withholding) or they have to issue a 1099. The guy who paid you off his route also has to issue a 1099, so you not only have mileage complications but income complications....and its not only possible but probable that the guy who paid you off his route will issue the 1099 late....because he won't realize that he needs to do it until he tries to do his taxes.

No, this is not something that you would want to trust to any ordinary H&R Block preparer. You would need an enrolled agent or someone with some serious experience. I can try to hook you up with someone competent.

For the sake of the other regular's here.....Tig and I are in the same state and already have some "knowledge" of each other.
 

tigger22472

Senior Member
LdiJ said:
I was hoping it wasn't something that complicated....sigh...

Tig...PM me. If they pay you they have to either issue a W2 (which means withholding) or they have to issue a 1099. The guy who paid you off his route also has to issue a 1099, so you not only have mileage complications but income complications....and its not only possible but probable that the guy who paid you off his route will issue the 1099 late....because he won't realize that he needs to do it until he tries to do his taxes.

No, this is not something that you would want to trust to any ordinary H&R Block preparer. You would need an enrolled agent or someone with some serious experience. I can try to hook you up with someone competent.

For the sake of the other regular's here.....Tig and I are in the same state and already have some "knowledge" of each other.

UGH...

Well, tell you what I will call the company that issues the checks tomorrow, I'm pretty sure there's a number on the stub, it's based in Columbus. As I said I did a different route last year and never received anything. I'll see what I find out there first and then get with you.

As far as the other guy goes, I"m not sure that I'm too worried with that. I can guarantee you that he never kept track of what he gave me for one, for two it's highly probable that he won't even file taxes.

In reality I didn't make enough off of this to even HAVE to file. The advantage however, I believe, and you would know for sure, is if I file I claim EIC and get monies back... so heck if I get money then I'm filing.
 

Snipes5

Senior Member
Agreed, the average preparer might not be able to handle this, however, H&R has Enrolled Agents in every office, so you can go there and ask for one.

The company also guarantees their work.

Snipes
 

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