Multible Tax Return Forms
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Franklin
I worked first 9 months of 2008 as a O/O Expediter, and during that same time as a part time OTR driver for a temp service. Due to the bad economy, I then gave these two jobs up and got a full time job. Do I need to file a seperate 1099 and a 1040? Regards Michael
Morning Michael,
There is no way that you can file taxes on 2 separate returns, except if you are a Partnership, LLC partnership, 'S" Corp, or full Corp.
The 1099 is filed on a Sch C. where you list all of your expenses,
Meals are not deductible, but the per diem is at 80% of the total. based on 1/2 dase out
it is figured from the time you left your home to the time you return. if you happen to be able to get a load that goes through the house, then it is considered a day out.
Then it depends on the vehicle that you drove. If you drove a cargo van, you can take the mileage that you incurred while driving, but if you have another vehicle for personal use. you cannot use the mileage for that, if you do not have a vehicle for personal use, and use the Van, then you have to take off about 15% of the total mileage you traveled.
Plus if you use mileage you CANNOT DEDUCT THESE EXPENSES
vehicle insurance
repairs
tires
registration
add oil
maintenance
if you used a straight truck, then it has to be at actual expenses, No mileage is allowed to be taken.
tolls
fuel
insurance other than health
repairs and maintenance
tires
taxes and license
etc
You will have to pay Social Security taxes on the profit if it comes out that way at the full percentage of 15.3% plus the federal tax depending on the profit and what tax bracket it will fall in.
Really, if you do not know what to do, Have a Professional who knows trucking, do your tax return, even if it is for only 1 year. it will cost more in the long run, but it probably will save you from paying a lot more taxes.
Example:
I had a driver call me, he did his taxes with an over the counter tax software, like
Turbo Tax, Tax Cut, Tax Act. after entering all he wound up owing $21,000. after I completed his return, He only owed approx. $5000, and $3000 was social security tax, the other 2,000 was the actual federal tax he owed on the profit. The over the counter software did not let him take deductions that he was allowed.
So by using a tax professional who specializes in the Trucking Industry you will save tax money.
He also only worked less than a year and is now unemployed. he had a lease that he was able to walk out of. the truck they lease to him was a 1996 tractor, and it had problems so he gave it back. and stopped driving, the repairs were eating him up, he saw a profit
but not enough to live on with a family.
Franklin Katz, ATP,PA, CPB
Frank’s Tax and Business Service
120 York Rd
Kings Mountain, NC 28086-3151
(704) 739-4039
Fax: (704) 739-3934
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