Well maybe, Something like that... show a loss means that you spent more than you made...
And sometimes its not that you spent more than you made but, if what you spent for business + your allowances + your per diem ='s more than your total Gross Income for the year, then yes you will "show a loss" and owe no tax money...
Just be careful, if your numbers line up that way and you dont owe- it is what it is: but a lot of people try to slant their expenses and deductions so they dont owe... this is playing Russian roulette with the IRS
TAXES WHAT WILL UNCLE SAM TAKE
Discussion in 'Trucker Taxes and Truck Financing' started by SmoothtruckerArt, May 18, 2017.
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And if this is your first year being paid on a 1099, then next year you are "supposed" to pay in a 1/4 of the tax owed from the previous year. -so if you owed 18k in taxes in 2017, divide that by 4 and pay in $4500 at the end of every quarter in 2018 on the IRS website "pay in 1040ES payment"
This way it shows the IRS that your not an outlaw and will comply with federal tax laws and you skip the penalty (which is not a big penalty anyways) AND its not such a big surprise at the end of the year when your CPA says sir " i got your taxes ready, looks like you'll owe 20k to the feds this year "... then you'll be like cool well i already paid in 18k last year so, 2 k it is...
But look at it like this:
WHEN U OWE THAT MEANS YOUR MAKING MONEYDSK333 Thanks this. -
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The best guesswork you can is look on your settlements and find how much gross revenue has been paid to either you or your EIN/company... this includes fuel surcharge
That gross number is what youll subract all your expenses from including fuel. Per diem is worth about $50 per complete day away from home. So take days out times 50... then subtract those numbers from the gross revenue number...
Then you will be left with a number... this is the number you pay taxes on... take that number and subract $3000 (if single claiming yourself) then times it by .30 and that is roughly what you will owe.... **since you have paid in quarterly, you subract your quarterly payments from this "what you may owe number" to even get a closer guess
Now: if u dont know your gross, and dont see it on your settlements, then whomever is in charge of settlements at the company you lease to should be able to look it up for you; ask for gross revenue 2017 -
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Just take that number $47,739 and start subracting your expenses like i showed earlier...
Ill do a quick, simple example: lets say 47,739 is what you made all year and the fuel and lease payment is what you paid for the entire 2017, January through December
$47,739 gross
-$14,400 (lease payment)
-$30,000 (fuel)
-$2000 (insurance)
-$12,000 (per diem)
= -$10,661 (a loss) so, in this example you owe nothing -
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Last edited: May 18, 2017
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DSK333 Thanks this.
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I have to ask, how in the world did you bank 40k this year if you only grossed 47k?
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