Did the IRS hit anyone else hard this tax season?

[brianhood]

I owe them around $6k this year, due by April(that's with quarterly estimated tax payments last year and a shit load of write-offs). How about you other full time engineers?

Did anyone actually get a refund?

 

[Loren Littlejohn]

Yeah, but like $200. haha

Actually that's the way I like it. I have owed them for the past 3 years and this was the first year where I got a return.

 

[Sloan]

IRS???

 

[angryoldsoundguy]

No refunds. I always end up paying in, but usually not very much.

Be sure to keep all receipts and write off everything business related. One thing people over look is that if you have a home office, which is where you start and end your work day, you can write off all your mileage to the studio/any live sound gigs and back home again.

$6k sounds like a lot.... either your business is doing incredibly well or you are missing out on a lot of write offs.

 

[Zack Uidl]

I had to pay around $12k for my music business this year. Totally lame. I have thousands of dollars in write-offs also.

This year is basically guaranteed to be worse....

 

[angryoldsoundguy]

I also would like to publicly say how much I hate the self employment tax.

15%? WTF. How bout I pay for my own health insurance and retirement. You can keep your stupid medicare and social security.

 

[egan.]

Yeah, I figure I'll owe a grand or two after I see the accountant even with estimated's and write-offs. It's the nature of 1099'ing. Sadly, the more your biz improves, the more wrong your estimated's will be. If you aren't already, throw some money into a 401k if you can afford it. In the end though, you are only paying taxes on profit so the more you're paying the better you're doing.
I occasionally work with this guy that likes to complain about paying $80k in tax last year.....boo hoo.

 

[ahjteam]

I also would like to publicly say how much I hate the self employment tax.

15%? WTF.

15% is pretty low. We have like WAY more. If you want 100 at the end of the day, you pretty much have to charge about 200 from the client.

But yeah, if excluding last year, I've been getting refunds every year.

 

[MarcusGHedwig]

Well, welcome to socialist Scandinavia, but at least you get kickass national healthcare (and, well, all the other stuff that I presume comes from such ludicrously high taxes)

 

[egan.]

15% is pretty low. We have like WAY more. If you want 100 at the end of the day, you pretty much have to charge about 200 from the client.

But Ahj, you don't seem to understand that the 15% he's complaining about is in addition to regular federal (10-35%) and state (0-11%) income taxes.

 

[tempe]

See I estimated my tax bill for the year at around $6k, needless to say I'm now making a very large purchase before June 30. Tax sucks, it really helps to just put away whatever you can during the year, so this doesn't happen!