Comments on: What taxes do you have to pay when you own a small home based business? http://7keystodeductingitall.com/584/small-business-taxes/what-taxes-do-you-have-to-pay-when-you-own-a-small-home-based-business/ Small Business Tax Deduction Secrets Thu, 23 May 2013 00:01:33 +0000 hourly 1 http://wordpress.org/?v=3.3.2 By: Judy http://7keystodeductingitall.com/584/small-business-taxes/what-taxes-do-you-have-to-pay-when-you-own-a-small-home-based-business/#comment-420 Judy Tue, 07 Feb 2012 02:36:50 +0000 http://7keystodeductingitall.com/584/small-business-taxes/what-taxes-do-you-have-to-pay-when-you-own-a-small-home-based-business/#comment-420 If you have your own business, you pay pretty much that same taxes you would pay otherwise, except that you'd pay both the employer and the employee half of social security and medicare, so you'd pay 15.3%. Your income taxes will be figured the same as if you earned the money from an employer. And yes, you'll still get EIC as long as you meet the requirements, which are the same as for wages income. You'll need to file quarterly estimated returns and make quarterly payments, since there won't be an employer deducting taxes from each paycheck. Good luck with your business. If you have your own business, you pay pretty much that same taxes you would pay otherwise, except that you’d pay both the employer and the employee half of social security and medicare, so you’d pay 15.3%. Your income taxes will be figured the same as if you earned the money from an employer. And yes, you’ll still get EIC as long as you meet the requirements, which are the same as for wages income.

You’ll need to file quarterly estimated returns and make quarterly payments, since there won’t be an employer deducting taxes from each paycheck.

Good luck with your business.

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