So i already have it all set up, then I ran across something that reminded me I had to pay taxes on what I was making, could someone please help me as to what type of work I would have to do to pay these, preferably someone with a cafepress site, as I know some people have them and what type of tax paper work it takes to run one.
Thanks to anyone who replys
Nick
You will probably get a 1099-misc from cafepress if you get paid $600 or more from them. You’ll then probably need to file Form 1040 including a Schedule C (self-employment form). Unfourtunately our lovely government has made it very hard and complicated to do taxes when you are self employed. I waste way too much time on my taxes which could otherwise be used in more profitable and/or more meaningful ways.
True…unless you’re self-employed and 15, as habbywall is. It’s true he’ll get the form, but the most complicated thing he’ll have to do with it is hand it to his parents. He likely won’t have to file anything…it will be figured into his parents’ tax return, and they may or may not have to declare that income specifically. Can’t remember exactly since I purge my brain each year on April 16, but the main factor I think is the total amount of the child’s income. Below a certain point you don’t even have to mention it on the parental return; above a certain point it gets declared. I think that “certain point” is at least $100 if not higher.
Disclaimer: I’m not a tax expert, although I do have a kid who produces income, and I know how to install TurboTax without crashing my computer.
Yeah, in a PM, I told him not to worry too much about it, other than to save about 10% of what he makes for payment towards taxes, if he expects to make no more than about $10,000. At his age, and probably not making a whole lot in income (though probably a lot to an individual at that age), he wont have to pay anything in taxes, but it’s good to prepare for that possibility. So, as Tom mentioned, when you get a 1099-misc from cafepress in January of next year, just hand it to your parents and have them deal with the tax situation.
If you are getting more into doing self employed income producing opportunities, it does get more complicated.