How do I fill out my 1099 regarding occupation tax?
I received notice regarding occupation tax a few months ago for past three years. I was not sure so I paid approx. 75 dollars each (as mentioned in the notice) for all three years. They also asked me to put total gross bill of receipts. I put all my 1099 amount that I received through my IT consultancy service (Sole Prop.). Now I got another notice with late fees and approx. around 1200 to 2000 for each year. Do I need to pay occupation tax even though I run an IT consultancy service as a single person doing 1099 contract?
Answered By: Dorot Law, PA
An occupation tax is generally a state-imposed tax, not a federal tax. I practice in Florida, where there is no such tax, so I recommend you resubmit your question stating specifically what state you are in so someone who practices in your state can assist you. It is never a bad idea to contact a local CPA and pick his or her brain on the matter. You can also try calling the agency that sent you that letter and see if they would waive penalties (which I have had some success in doing).
Answer Applies to: Florida
Replied: 6/13/2011
Disclaimer: The response above does not form an attorney-client relationship. This answer may or may not apply to you and should not be relied upon as legal advice. LawQA does not make any representation as to the expertise or qualifications of this attorney. This attorney may or may not be admitted to state bar of your state.
Answer Applies to: Florida
Replied: 6/13/2011
Disclaimer: The response above does not form an attorney-client relationship. This answer may or may not apply to you and should not be relied upon as legal advice. LawQA does not make any representation as to the expertise or qualifications of this attorney. This attorney may or may not be admitted to state bar of your state.
Answered By: The Schreiber Law Firm
I do not understand what you mean by "occupation tax"? Is that a tax in a particular state, as it has no meaning for federal taxes.
Answer Applies to: California
Replied: 6/13/2011
Disclaimer: The response above does not form an attorney-client relationship. This answer may or may not apply to you and should not be relied upon as legal advice. LawQA does not make any representation as to the expertise or qualifications of this attorney. This attorney may or may not be admitted to state bar of your state.
Answer Applies to: California
Replied: 6/13/2011
Disclaimer: The response above does not form an attorney-client relationship. This answer may or may not apply to you and should not be relied upon as legal advice. LawQA does not make any representation as to the expertise or qualifications of this attorney. This attorney may or may not be admitted to state bar of your state.
More Questions on Tax
- Are there any tax consequences for depreciating an income property?(1/16/2012)
- How do I settle an employment discrimination suit without paying a lot of taxes?(11/9/2011)
- What can I do to get the refund from IRS?(11/9/2011)
- Do I need a Tax ID number to sell items if I am not registered as non-profit?(11/9/2011)
- How does marrying affect your taxes?(11/9/2011)
- Can a property of a deceased person be transferred before the IRS gets it?(10/17/2011)
- How much tax should I pay on a foreign currency exchange?(10/10/2011)
- Can I appeal a tax audit made by the IRS?(10/5/2011)
- Can I file a case against a Tax Cut program?(9/27/2011)
- Can someone claim my kids on their 2011 tax return, other than me?(9/27/2011)
- How can I resolve a lien on the estate?(9/27/2011)
- Is there a statute of limitations for unpaid tax?(9/17/2011)
- How can I reduce my monthly tax payment to the IRS?(9/17/2011)
- Would there be a way to get back the money I paid for the IRS for taxes?(9/17/2011)
- Would there be a way for me and my former husband share the tax that we owe?(9/17/2011)
- What should I do if the IRS wants to garnish pay from the company I sub contract for?(9/13/2011)
- What will happen if I go to court for claiming more than one dependent on my tax return?(9/12/2011)
- What can we do if there was a mistake on our tax form?(9/8/2011)
- What should I do if the IRS contacted me about a debt?(9/3/2011)
- How can I reduce my monthly payment on delinquent IRS taxes?(9/2/2011)
