Posted by sragland on 1/3/06 10:03pm
Msg #85844

Now I have a tax question....

I have been busy searching IRS tax info and have come up with this. All you wise wizards out
there have any wisdom to bestow?

http://www.irs.gov/publications/p533/ar02.html#d0e912

I scrolled down to notary public and what did I see?? This kind of blew me away.

I have been working with SE tax for years and did not expect this. :o(

Trying to learn everything I can. Absorbing it like a sponge.

Sherri in AR

Reply by Debbietax_CA on 1/3/06 10:37pm
Msg #85854

There have been several threads on this that you can search and read up on, but basically, your fees as a notary public can be exempted from SE tax. This does not mean it is exempt from income tax. The total fee is still listed on your Schedule C, business tax return. The amount you collect for notary work only can then be deducted from the SE tax that you will be charged. This SE tax is in addition to income tax, so please do not get the two confused.