Questions about 1099-MISC Schedule C Deductions

[stantonarch]

I'm an independent contractor and get a 1099-MISC. Because I'm an independent contractor I have to file as a "Business" Schedule C. After doing so, the amount of tax taken out was around 33%, does that sound right? Seems high to me.

So, I started looking into making some deductions. I tried to claim Home Office, but because my work area is not used exclusively for work, it appears I don't qualify. I tried claiming depreciation on my computer and that seemed to help a little. I also claimed another miscellaneous business expense that helped too.

But, I'm afraid that I may not really know what I'm doing and make a mistake. I don't want to get in trouble or get audited, but I feel like 33% is really high and I'd like to make some deductions if possible.

Any advice on this?

Thanks

 

[TheGeekess]

I'm an independent contractor and get a 1099-MISC. Because I'm an independent contractor I have to file as a "Business" Schedule C. After doing so, the amount of tax taken out was around 33%, does that sound right? Seems high to me.

So, I started looking into making some deductions. I tried to claim Home Office, but because my work area is not used exclusively for work, it appears I don't qualify. I tried claiming depreciation on my computer and that seemed to help a little. I also claimed another miscellaneous business expense that helped too.

But, I'm afraid that I may not really know what I'm doing and make a mistake. I don't want to get in trouble or get audited, but I feel like 33% is really high and I'd like to make some deductions if possible.

Any advice on this?

Thanks

Consult an accountant and/or tax specialist.

 

[LdiJ]

I'm an independent contractor and get a 1099-MISC. Because I'm an independent contractor I have to file as a "Business" Schedule C. After doing so, the amount of tax taken out was around 33%, does that sound right? Seems high to me.

So, I started looking into making some deductions. I tried to claim Home Office, but because my work area is not used exclusively for work, it appears I don't qualify. I tried claiming depreciation on my computer and that seemed to help a little. I also claimed another miscellaneous business expense that helped too.

But, I'm afraid that I may not really know what I'm doing and make a mistake. I don't want to get in trouble or get audited, but I feel like 33% is really high and I'd like to make some deductions if possible.

Any advice on this?

Thanks

Deductions can be taken for actual and normal/ordinary expenses needed to run the business. If you do not know what those are, then either you need the help of a tax professional, or you do not have any actual expenses. The one thing that you cannot do, is make up expenses. That is what can/will get you into trouble.