Basic Turbo Tax Question

La Brujita · #1 03-29-2005, 01:36 PM

Sorry to be annoying. Taxes for this quarter Jan 1-March 31 2005 will be the first time I am filing a schedule C. I also have to do my taxes for last year.

Will Turbo Tax let me do both or do I have to buy another product to file this years estimated taxes.

Thanks in advance.

Edit to ask a very very stupid and simple question. I am reading the forms on the IRS site and it looks like to file estimated taxes if you do so electronically you don't need to send in a form, you just need to send in the money. Am I wrong?

SamJack · #2 03-29-2005, 02:06 PM

If you want guidance on Schedule C you should get TurboTax Premier. That what I use.

La Brujita · #3 03-29-2005, 02:09 PM

I was chatting with turbotax support as well but the dude was not sure. I think I was just confused since I don't think I need to file a Schedule C for 2004 tax year.

I have gotten pretty good guidance in this forum in the past and I am looking for a starting point not definitive advice.

SamJack · #4 03-29-2005, 02:12 PM

[ QUOTE ]
I was chatting with turbotax support as well but the dude was not sure. I think I was just confused since I don't think I need to file a Schedule C for 2004 tax year.

I have gotten pretty good guidance in this forum in the past and I am looking for a starting point not definitive advice.

[/ QUOTE ]

I have to file Schedule C for the first time this year also. I decided on Premier. I've used it. It offerred good guidance on things like deduction and depreciation for your home office etc.

SamJack

La Brujita · #5 03-29-2005, 02:21 PM

I guess I was trying to just understand the process and I spoke with both Turbo Tax via chat and the IRS. I know this is blindingly obvious to everyone else but this is what my understanding is, feel free to correct me if incorrect:

1. As a small business you file quarterly estimated taxes. There is no accompanying documentation (like a quarterly Schedule C), this is where I was confused.

2. When filing the yearly taxes you then file the Schedule C and settle it all out.

Regards

SamJack · #6 03-29-2005, 02:36 PM

[ QUOTE ]
I guess I was trying to just understand the process and I spoke with both Turbo Tax via chat and the IRS. I know this is blindingly obvious to everyone else but this is what my understanding is, feel free to correct me if incorrect:

1. As a small business you file quarterly estimated taxes. There is no accompanying documentation (like a quarterly Schedule C), this is where I was confused.

2. When filing the yearly taxes you then file the Schedule C and settle it all out.

Regards

[/ QUOTE ]

Quarterly estimated tax payments have nothing to do with Schedule C. IRS will ding you with a penalty if your estimated tax payment are not in guidance with their formula which is based on how much you withhold and/or previous years income. You only have to use 1040ES which is a very simple form.

Of course, I'm not a accountant and I don't know any more than what I need to know to pay my own taxes...

SamJack

NatalieR · #7 03-29-2005, 03:28 PM

I've used Turbotax for about 8 years, with a self-employed "consulting business". Both TT Standard and Premier allow Schedule C. I believe there is no reason to buy Premier unless you get a great rebate deal on other software or state returns. Also, note that you can use the online Turbotax software (identical!) for FREE, if you link to it through www.irs.gov. Sounds too good to be true, but it's real.

NatalieR

SamJack · #8 03-29-2005, 03:32 PM

[ QUOTE ]
I've used Turbotax for about 8 years, with a self-employed "consulting business". Both TT Standard and Premier allow Schedule C. I believe there is no reason to buy Premier unless you get a great rebate deal on other software or state returns. Also, note that you can use the online Turbotax software (identical!) for FREE, if you link to it through www.irs.gov. Sounds too good to be true, but it's real.

NatalieR

[/ QUOTE ]

I'm curious. Does standard TT have wizards for calculating home office deductions? e.g. deductions based on sq ft of your hoem office / total sq ft of house and the total cost for your house, etc? What about depreciation wizard for your home office equipment such as fax machine, copier, etc.?

If so, damn! I got ripped off!

SamJack