soo.. i have a tax question for small business and i am hoping someone on here is an accountant that could help :thumbup:
I have a small sole proprietor business and I have to pay self employment and income taxes on (and a wide range of other taxes) and I do not know how to calculate my final income. Here is an example to help understand this question. please note that i do not have cost of good sold or anything like that.
Final profit after sales taxes: $100
Self employment tax: I understand to take the tax from the $100. After that tax i would have approx $93 (simple math)
Income tax: for my income tax, do i calculate it off the $100 profit, or the $93?
thanks in advance!!! :thumbup:
I have a small sole proprietor business and I have to pay self employment and income taxes on (and a wide range of other taxes) and I do not know how to calculate my final income. Here is an example to help understand this question. please note that i do not have cost of good sold or anything like that.
Final profit after sales taxes: $100
Self employment tax: I understand to take the tax from the $100. After that tax i would have approx $93 (simple math)
Income tax: for my income tax, do i calculate it off the $100 profit, or the $93?
thanks in advance!!! :thumbup: