Question by Lisa: What taxes would a small business in Idaho be responsible for paying? What deductions and exemptions…?
What taxes would a small business in Idaho be responsible for paying? What deductions and exemptions might apply that could reduce the tax burden?
Best answer:
Answer by Jss
You must file your tax return if your self employed income is $ 400 or more. You will report your income and business related expenses on schedule C or C-EZ (Form 1040). Then you put net income (or loss) on line 12 of Form 1040. This income is subject to SE tax at 15.3% (this is shown on line 57 of Form 1040).
You can deduct all your business related expenses that are necessary for the business.
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