Posted by Shelly Kitchen, Loan Signing Agent on 1/7/05 5:32pm
Msg #15767
Notary acts are not subject to the 15% self-employment tax
Notary acts are not subject to the 15% self-employment tax. In 2003 the National Notary Association quarterly magazine had an article about the 15% self-employment tax being exempt for all notary acts. I think it was in the last magazine for the year. I brought the magazine article to my CPA and he saved me money on my taxes!
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Reply by Art_MD on 1/7/05 6:12pm
Msg #15772
This has been covered in some previous threads. Only the fees for the notary acts are not subject to SET. In MD the fee is $2 max. I think it's $10 in CA
Art
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Reply by Shelly Kitchen, Loan Signing Agent on 1/7/05 6:34pm
Msg #15775
I thought that is what I said... Only the fees for the notary acts are not subject to the additional tax. Yes, In California it is a max. of $10.00 per person per notary act. (To be a notary in California you have to jump thru more hoops and it cost more money than say in MD. ) If you have a set of loan doc's that you charged a $100.00 to meet with the clients at thier home to sign... (say a husband & wife) and thier is only 3 documents to be notarized with both of them on it.... then $60.00 (60%) of the signing fee is not subject to the 15% self-employment tax. It could be a big savings.
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Reply by CarolynCO on 1/7/05 8:30pm
Msg #15784
Re: NNA info not always accurate
Although I'm a member of the NNA, I will call my SOS if I want the correct/specific answer for Colroado. Although the tax info article was not misleading, I've found other NNA info that can't be believed as gospel.
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Reply by CarolynCO on 1/7/05 8:31pm
Msg #15786
Re: NNA info not always accurate
oops. Colorado.
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Reply by Anonymous on 1/8/05 8:30am
Msg #15826
Re: NNA info not always accurate
Unless your journal reflects an amount charged per each document as paid for by the signee all fees should be considered for the tax. Elsewise the IRS and State authorities consider the actual notarization done as gratis.
Your journal must also reflect consistant charges.
JCG
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Reply by DEEANN DEZERAY on 1/9/05 12:14am
Msg #15927
CAN YOU PLEASE FAX ME A COPY OF THE 15% SELF-EMPLOYMENT TAX FOR NOTARYS TO
321-773-2534
OR E-MAIL IT TO [e-mail address]
THANK'S MUCH
DEEANN
IF I CAN BE OF ANY HELP TO YOU PLS. JUST LET ME KNOW
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Reply by PAW Notary Services on 1/9/05 12:23am
Msg #15928
Re: Notary acts are not subject to the 15% self-employment t
You can read about it in IRS Publication 533 (http://www.irs.gov/pub/irs-pdf/p533.pdf) on page 6:
Notary Public
Fees you receive for services you perform as a notary public are not subject to SE tax.
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