# Taxes



## Nick781 (Dec 7, 2014)

Do we have to do state taxes also? and what business code do you use for federal taxes, closest I saw was taxi and limousine services.


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## Jeep Daddy (Jan 10, 2015)

Nick, I wish I had an answer for you but I'd like to know too. I've never had a 1099 job before and don't have a clue on what I should do as far as taxes go. So I hope someone will chime in and tell us how to keep our ignorance from costing us tax penalties.


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## Amsoil Uber Connect (Jan 14, 2015)

A 1099 is treated like the W-2 that should be received by Jan 31st. 
If there is no withholding from a 1099 then a balance my be due April 15th. However,
You can also file an Extension, I forget the form # but it gives you another 6 months to come up with the money to pay if anything is owed. Which is due by Oct 15th.


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## Jeep Daddy (Jan 10, 2015)

Amsoil Uber Connect said:


> A 1099 is treated like the W-2 that should be received by Jan 31st.
> If there is no withholding from a 1099 then a balance my be due April 15th. However,
> You can also file an Extension, I forget the form # but it gives you another 6 months to come up with the money to pay if anything is owed. Which is due by Oct 15th.


Cool. Thanks for the information. What is it that I hear about paying quarterly in advance like taking a guess on how much we will owe next year?


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## Moofish (Jun 13, 2014)

So, do we get anything from Uber? or is it up to us to total our income from them? And do you count the last statement even if it was paid after 1/1, or count only the rides up until midnight?

Most info here: http://www.irs.gov/Individuals/Self-Employed

I remember hearing something that you don't need to make estimated payments if you made less than $1000 in taxable income, i'm looking for it somewhere. Also heard that they are a bit more lenient the first year you do it.


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## Amsoil Uber Connect (Jan 14, 2015)

Yes you should receive form 1099 by Jan 31st. The amount to be reported is on that form. That's all you have to worry about.

Quarterly, I am not sure about.


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## Uberaccountant (Jan 1, 2015)

Amsoil Uber Connect said:


> A 1099 is treated like the W-2 that should be received by Jan 31st.
> If there is no withholding from a 1099 then a balance my be due April 15th. However,
> You can also file an Extension, I forget the form # but it gives you another 6 months to come up with the money to pay if anything is owed. Which is due by Oct 15th.


Please remember that you can file an extension using IRS Form 4868, which will allow you an additional 6 months (October 15, 2015) to file your taxes.

*But if you owe taxes, the IRS requires that you still pay by the original due date of your return which is April 15th. *

If you don't pay your income taxes by April 15, the IRS will most likely assess a late payment penalty and interest charges which accumulate each month that your taxes go unpaid.

*Tax penalties*

Not filing your return will cost you an additional 5 percent each month of any due tax.
Not paying what you owe will add an extra charge of 0.5 percent each month of your due tax amount to your overall IRS debt.
If you don't file or pay for five months, the 0.5 percent failure-to-pay penalty will accrue, up to 25 percent of what you owe, until the tax is paid.
In that case, the total penalty for failure to file and pay could amount to 47.5 percent of your tax bill.
If you file your return more than 60 days after the due date or extended due date, the minimum penalty is the smaller of $135 or 100 percent of the unpaid tax. 
Interest also is charged on the overdue amount.
Even if you unable to pay all of your tax liabilities due to the IRS by April, it is better to file an extension then do nothing.


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## Amsoil Uber Connect (Jan 14, 2015)

It is better that, even if you owe something to file by the 15th. And its not "mostly likely" as they certainly will assess a late payment penalty, however to me its not much as they will calculate that into the notice you will get 60 days later. Titled "We have changed your Account."

As highly suppressive as it is, thank you for the info on penalties and interest as I believe many need to know that. Its always there best fear tactic.


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## Nick781 (Dec 7, 2014)

So we do one 1099 for federal and one for state taxes?


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## CowboyMC (Aug 26, 2014)

Nick781 said:


> So we do one 1099 for federal and one for state taxes?


One 1099 is used for fed and state.


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## Nick781 (Dec 7, 2014)

What do you use for business code on Schedule C, closest I see is Taxi and Limousine services


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## CowboyMC (Aug 26, 2014)

Nick781 said:


> What do you use for business code on Schedule C, closest I see is Taxi and Limousine services


That is what I use.


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