Unique (?) tax question

He's a self employed business ... sole proprietor. He needs to file a schedule C ... his gross revenue - 1099 - will be his income. Then deduct all his expenses, including his per diem expense, phone incidentals, parking, etc.

He's going to have a 15% hit on what's left for self employment tax.

 

Contact www.OOIDA.com and they should be able to recommend someone.

 

I can't believe no one has suggested calling the irs to ask.

 

Because we knew the answer ...

 

Id still call irs. They would know better.

 

I gave up trying to talk to the IRS; it's like trying to communicate grownup topics with a 3rd grade dropout.

 

Do not call the IRS, they will tell you you can't deduct the fuel because it's included as a reimbursement.

 

The IRS answers 20-30% of all the phone calls this time of year, and their answers are wrong about 30% of the time.

Fuel is an ordinary business expense, same as travel, lodging, cell phone, marketing materials, job specific work clothes (flip flops? ), health insurance, etc.