Closet_Gamer
Thinks s/he gets paid by the post
I recently set up an LLC that I will use for consulting/advisory services. I've set up a seperate checking account and gotten an EIN.
Wondering if anyone has experiences they can share in regard to taxes.
I know that I will owe 15.3% on income to cover both sides of FICA + Medicare. I believe that the LLC is a dis-regarded entity for federal tax purposes, so I owe those taxes regardless of whether I actually "pay" myself or not.
Two questions:
1 - I will have business development and other expenses. For example, in Q1 let's say I spent $50 on a business development trip. I also billed $200 to a client. Can I net the BD expenses against the billings? So that I am liable to pay taxes on the $150 rather than the full $200?
2 - Do you have to file a specific form quarterly to say "This is the employer-side FICA due on my business" and another to say "Here is the FICA + Medicare due on my employee side", or does it just roll into your overall tax obligation so a general estimated tax payment will work?
Any other advice?
Thanks!
Wondering if anyone has experiences they can share in regard to taxes.
I know that I will owe 15.3% on income to cover both sides of FICA + Medicare. I believe that the LLC is a dis-regarded entity for federal tax purposes, so I owe those taxes regardless of whether I actually "pay" myself or not.
Two questions:
1 - I will have business development and other expenses. For example, in Q1 let's say I spent $50 on a business development trip. I also billed $200 to a client. Can I net the BD expenses against the billings? So that I am liable to pay taxes on the $150 rather than the full $200?
2 - Do you have to file a specific form quarterly to say "This is the employer-side FICA due on my business" and another to say "Here is the FICA + Medicare due on my employee side", or does it just roll into your overall tax obligation so a general estimated tax payment will work?
Any other advice?
Thanks!