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limecoconut
04-08-2013, 01:54 PM
I am using TaxSlayer.com and I've come to the spot that says "Did you own a business or receive a 1099-MISC with an entry in box 5, 6, or 7?" Then it says "If you owned your own business, the IRS requires you to report any income or expenses for that business on your tax return. When you enter your information into the program a form called a Schedule C is created.

Important: If you received a Form 1099-MISC, you may be required to treat that income as if you earned it from operating your own business. In most cases, you need to report 1099-MISC income on a Schedule C if your 1099-MISC had amounts in any of the following boxes: 5, 6, 7."

I received 2 of them from sites I am on so I pressed yes. It takes me to a page where I can create a Schedule C. Do I need to specifically input the 1099-MISC forms I got somewhere, or just add the income to the other sites I didn't receive forms from?

Thanks!

MsTripledddtits
04-08-2013, 10:07 PM
Melonie you are awesome nothing but all awesome im so glad to learn everything i need to know you are generally a pro thank you..

Melonie
04-09-2013, 11:44 AM
^^^ for the record, I am NOT a'pro'. I'm just a 'dumb blonde with big boobs' ... who spent 10+ years in Manhattan VIP rooms sitting on the laps of bankers, attorneys, accountants, brokers, politicians etc.

MsTripledddtits
04-09-2013, 08:30 PM
i understand but i dont judge you for that your not dumb either the advice you gave was exceptionally smart its great that you help others out an thats all i look to...An i didnt mean pro as in a bad way but im going to take all your advice i read this whole thread an i find it very useful info so thankyou anyway doll

TXCamgirl
04-15-2013, 01:04 PM
Giftcards are just that: GIFTS! You do not have to claim gift income as it is up to the giver to claim it if they give you more than $10,000.

However, IF you're audited and get a bitchy auditor they may see the giftcards as payment is they find them and make you claim them.

Really it is up to you. If you want to be extra safe, claim them. If you believe that you can fully argue that they are gifts and not payment, then don't claim them.

I was under the assumption that it's not really a gift IF you are receiving it for something that relates to a business you pay taxes on. Like if you are a camgirl and you receive money from "John" for shows then "John" sends you an extra 100$ for a gift, you still have to claim it because it was given to you through your business endeavors. I may be wrong but I'm pretty sure a CPA told me that once.

Melonie
04-15-2013, 03:17 PM
^^^ technically speaking the IRS considers supposed 'gifts' between a totally unrelated ( middle aged ) man, and a totally unrelated ( young, attractive ) girl ( who also happens to work in the adult entertainment industry ) as 'payment for services rendered'. As such, the payment is considered to be income thus subject to income tax.

SluttyCocoLoca
04-17-2013, 12:15 PM
Hi everyone ;) first of all - thanks Melonie for all your posts here!!!They are amazing!

I have been camming since January 2013 - so I filed 2012 return in like February like all my years i live in US (immigrant, legal resident) and thought I was done for this year... I decided to step up my game and start taking care of my job as serious business "paper-wise" - and after reading this thread I realized I am just 4 months late... well ... better late than never right.... Well I hope that this year can be consider as my "first time year as small business" - so I should be fine, right? after reading whole thread I am not super freaking out - just a little... I knew I would have to pay taxes - but I thought it will be in April 2014 - I know stupid - but well Im being honest... so should I rather pay it quarterly or should I use this "first year" just to leave it in saving account to gain some interest? About social and medicare - do we pay those separately or is it paid with estimated taxes? I know it might be basic knowledge for US girls so please dont hate ;) Thank you so much for answers!!! And once again for all info in this thread - now Im going to Dollar Den ;) Love yall!!!

Sexy Shana
04-18-2013, 05:01 AM
Hi Slutty Coco Loco,

All estimated taxes should be paid quarterly, including medicare and Social security. Just get an idea of what you make ea quarter and send a check based on the tables IRS provides. If U overpay, you get the $$ back. If U underpay, U can make it up!
Don't sweat taxes, keep expense records...more things count as expenses then U may think.

All the best, Relax! xoxoxo

Melonie
04-18-2013, 10:14 PM
^^^ yes the IRS does offer a first year exemption from penalty charges for new businesses that fail to file and pay quarterly estimated taxes. However, as you found out, this does not exempt you from owing the same amount of taxes on the first year income.

SluttyCocoLoca
04-19-2013, 02:39 AM
thanks ladies for answers! Yeah i know i have to pay it i was just wondering if it wouldnt be "better" to use that exemption to put "tax money" in savings and let it add up a lil... But i better not play with it and pay it ;) thanks tho!!!!

Melonie
04-20-2013, 03:59 AM
^^^ considering that the interest rate the IRS will charge on unpaid estimated taxes due is higher than the interest rate you will receive by putting your estimated tax money in a savings account, I vote pay the estimated taxes. The first year exception protects you from the PENALTY charges otherwise due for non-payment/ underpayment of estimated taxes. It doesn't exempt you from potential IRS interest charges.

The way the IRS looks at estimated taxes works like this. As of last monday April 15th, estimated taxes were due on income earned between Jan 1 and Mar 31 of 2013. If no estimated tax payment was sent in, the IRS takes the position that they must then 'loan' out enough money to pay the estimated taxes that you were supposed to pay but didn't ( even though you never see the 'loaned' money ). That 'loaned' money comes with an interest charge. When you do report your 2013 income next April 15th, the interest charge plus potential penalty charges will be added to the amount of money you directly oweon your 2013 earnings.

SluttyCocoLoca
04-20-2013, 04:50 AM
Thanks Melonie for detailed explanation!!!! I will pay it asap!

Snowy0Star
04-28-2013, 04:21 PM
So how much should we be setting aside out of our paychecks for taxes? This thread says 30% but ive been told to take out 20%-25%. I live in Virginia.

Melonie
04-30-2013, 03:15 AM
Well, as a US citizen you're going to be hit with a 15.3% Social Security / medicare tax on every dollar earned. From there, federal income tax rates increase with your income level ... perhaps hitting 10% with $30k of earnings, rising toward 20% with $75k of earnings. And state income taxes get added on top of federal income taxes ( with Virginia's state income tax rate being around 5% ).

The income tax rates are also affected by exemptions and deductions. Single pays a higher rate than married. Having children reduces tax bill via an extra 'exemption' plus potential child care tax credits. Owning a home ( actually, making mortgage payments ) reduces tax rate via a deduction for mortgage interest paid.

Because of all of these variables, there is no 'right' answer. But if you are averaging $1000+ a week, are single, do not have children, and live in a state with a relatively high state income tax rate, 30% estimated tax withholding is not out of the question.

AureliaC
05-08-2013, 11:35 AM
This may have been answered, but I filed my taxes around april 10th (first year as an independent contractor) and because of my exemptions and my vanilla job earlier in the year I got money back. Obviously putting in my 1099's lowered my refund, but I then thought I was ok on my other april deadline. I owe a penalty charge for the april payment, right? or does that somehow count with the first year thing.

Melonie
05-10-2013, 01:49 PM
Did you apply a portion of your 2012 tax refund toward your 2013 estimated taxes? There is a line entry for doing this on the 1040 form. If not, then you still needed to send in a first quarter estimated tax payment for taxes due on money earned from January through March by the same April 15th deadline. If you didn't do that, then yes potential IRS interest chargesmay have started to accrue. It is my understanding that the first year exemption goes by 'tax year' ... meaning that if you reported 1099 income from dancing or camming on your 2012 tax return filed last month, then 2012 is considered to be your first year of operation by the IRS and 2013 no longer falls under the 'first year in business' exception.

cammodel
05-19-2013, 05:21 PM
I have never made a lot of money from camming. Well over half of my income has always came from other types of jobs. I never did quarterly payments and I had bout 1 grand in write offs and with all our other stuff, we got a lot of money back. I didn't have to pay anything in. So for me camming was well worth it, and the camming revenue ended up being tax free for the year.

Snowy0Star
05-19-2013, 06:12 PM
is Melonie perma-banned... : (

Pinkystarr
05-26-2013, 01:28 PM
As a webcam model i know this question is asked alot! But i can not seem to find a straight answer! Living in nevada does anybody know the answers to the following questions?: Webcam model

1) what percent from each paychck should you put aside for taxes?
2) what percent from a toal of 4 months of each paycheck (quarterly) should you take out?
3) what percent of your yearly income do you need to pay back for taxex?

Thank you!

Marina Starr
05-26-2013, 01:31 PM
Please read and use the search function on here!
https://www.stripperweb.com/forum/showthread.php?169003-Taxes-is-camming-still-worth-it

https://www.stripperweb.com/forum/showthread.php?169932-How-to-do-a-search-on-Stripperweb

TeenageAnnie
05-26-2013, 01:45 PM
google 'self employed tax calculator'. it will obviously depend on how much u earn. i am in the uk so i dont know how american tax system works, but last year i earned £11000 ($7250) and payed £914 ($602) in tax. that was from working on average 2 hours a day 5 days a week.

Pinkystarr
05-26-2013, 02:43 PM
google 'self employed tax calculator'. It will obviously depend on how much u earn. I am in the uk so i dont know how american tax system works, but last year i earned £11000 ($7250) and payed £914 ($602) in tax. That was from working on average 2 hours a day 5 days a week.

thank you

Melonie
06-10-2013, 09:47 AM
1) what percent from each paycheck should you put aside for taxes?
2) what percent from a toal of 4 months of each paycheck (quarterly) should you take out?
3) what percent of your yearly income do you need to pay back for taxes?

#1 - 15.3% Social Security tax regardless, plus anywhere from 0% to another 33% US federal income tax ( depending on total income level, tax filing status, total exemptions and deductions ). For an unmarried girl with no children who does not own a home, who has a $1000 per week typical gross income, and who is able to claim herself as a dependent ( some college students can't ) the combined percentage will probably be about 25%. For a girl earning $2,000 per week, the combined percentage will probably be about 30%. For a girl earning $4,000 per week, the combined percentage will probably be 35%. Note that this is US federal taxes only, and does not include the effect of state income tax rates ... which range from 0% in states like Nevada to another 4-6-8% in high tax rate states like NY, IL, CA etc.

#2 - note that the four quarterly US estimated tax periods do not have an equal number of weeks - Q1 has 13 weeks, Q2 has 8 weeks, Q3 has 13 weeks, and Q4 has 16 weeks. So in terms of percentage, this has no importance at all - per the above example every quarter's percentage would be 25%. But the total number of estimated tax dollars due will vary with the number of weeks in the quarter.

#3 - again per the above example the overall effective tax percentage for the entire year would also be somewhere around 25%.

I will also add that estimated taxes are understood to be estimates. The purpose of filing your annual tax return by April 15th of the following year is to exactly calculate the total actual amount of taxes owed on the previous year's income, and then to reconcile the total actual amount of taxes owed against the total amount of the four quarterly tax filings already paid. If the estimated tax payments exceed total actual taxes owed, you'll get a refund. If the total actual taxes owed exceed the total of quarterly estimated tax payments already paid, you'll have to send in yet more money in taxes. If the total actual taxes owed exceed the total of quarterly estimated tax payments already paid by more than 10% you may also be required to pay an underwithholding penalty charge plus interest charges in addition to the additional tax money owed.

Also note that this only applies to the 2013 tax year. The 2014 tax year will have a large number of changes, ranging from having to pay a new penalty tax if you don't have health insurance coverage, to new taxes on investment income, to reduced tax credits and deductions ( which increase the effective tax rate even though the 'official' tax rate is unchanged ), which will affect girls differently depending on their own personal situations. I mention this for two reasons ... A. to warn girls that 2014 effective tax rates will be higher than 2013 effective tax rates, and B. that it will be cheaper overall to make sure you are 'square' with the IRS at the end of 2013 as opposed to allowing ( higher ) penalties and interest rates to hit you in 2014 for unpaid 2013 taxes.

Snowy0Star
06-10-2013, 01:47 PM
^ yay ur back we missed you - i was sooooooooo scared 4 u but odette said ur ban wasnt permanent so i got happy again

LilyAnderson
06-12-2013, 01:25 PM
Camming is the best job I've ever had, by far.
Regardless of taxes, YOU pick how much you want to make.
Before this, I was working at a bank, making $600 bi-weekly.
Now, I range $1000 a week = $700.00 a week including taxes.
So, lets do the math.
Bank = $1200 a month net.
Camming = $2800 a month net.
More then double. PLUS, I don't make as much as I nearly can. I slack quite a bit :) I figure on a good month, I can range about $6000 if I put my mind to it. But, I'm quite happy making about 3000 a month and being
able to work at my own pace in my own space.
It's much easier to work for things when you can control how fast it comes to you. Sure, there's days where we don't make shit. But there are days that you can make upwards of 500 bucks...
It's totally worth it for me.

Cam_Model_Jess
07-03-2013, 12:34 AM
(NOTE: I'm changing "income" to "tentative profit or loss" on the AGI section. If you read this before I made changes, please read it again.)

Hello U.S. ladies. I wrote this tutorial as a loose guide to calculating estimated tax payments, since it can seem very daunting. Please note that it's for more simple taxes. I used a very simple tax situation of a single person with no dependents & $40,000 of income. So if you have lots of credits, etc., make sure to make adjustments. I just used the example of $40,000 earnings throughout so we have a baseline. Good luck!

Estimated Taxes

What you’ll need: 1040-ES Form & Instructions, Receipts for business expenses (and personal deductions, if itemizing), Prior Year’s Income, Tax Form, or Present Year Income-to-date (if filing 2nd quarter or later). If you anticipate this year’s earnings being the same as last year’s, use your income from last year, but if you anticipate a significant change in income, use this year’s numbers & projections to avoid overpaying or underpaying. Ex: If you made $40,000 last year & anticipate earning approx the same amt this year, use last year’s information, but if you anticipate making $30,000 or $50,000 this year, based on your first quarter (or later) earnings, then anticipate earnings for the year.

References to Schedule C are for those who have filed self-employed taxes before, or who are referencing Schedule C for clarification of terms.

Completing “Self-Employment Tax & Deduction Worksheet”:

1. Start by calculating your gross income (add together self-employment income from all SE sources. If using previous year’s return, gross income can be found on Schedule C, Part 1, line 7
2. Use receipts & bills to calculate all business expenses. Remember that some expenses can only be claimed at 50% (or less). Ex: You have a dedicated “cam room” which takes up 15% of the space in your home. Your rent, mortgage, electric & gas bill can be claimed at 15%. You can not claim a phone bill unless it’s a dedicated phone or line. You can claim your internet bill at a max of 50% (I claim 50% of my base internet package plus 100% of my “high speed” add-on package). Claim advertising, website hosting, etc. at 100%. Examples of expenses can be found on Schedule C, line 8-26, 48.
3. Gross income minus expenses equals “net profit” aka “expected income subject to self-employment tax”
4. Enter this amount on 1040-ES Line 1a
5. Multiply by 0.9235 & enter on line 3
6. Multiply line 3 by 0.029 & enter on line 4
7. If you expect to make more than $113,700 you will only pay SSI for $113,700 of your earnings, so enter either $113,700 OR your actual earnings (if less than $116,700) on line 8
8. Multiple line 8 by 0.124 & enter on line 9
9. Add line 4 & 9, then enter this number on line 10, and also enter on line 11 of your Estimated Tax Worksheet
10. Multiply line 10 by 0.50 & enter on line 11. Subtract this amount when figuring your AGI for estimated taxes.

Ex:
$40,000 Self-employment income from all sources
-$1,000 business expenses
=$39,000 "net profit"
39,000 x .9235 = 36,016.50
36016.50 x .029 = 1,044.48
36016.50 x .124 = 4466.05
1044.48 + 4,466.05 = 5510.53 (enter on line 11) this is your SE tax due
5510.53 x .5 = 2755.27 (subtract from AGI) this is your SE tax deduction

Cam_Model_Jess
07-03-2013, 12:35 AM
Figuring AGI:

Your expected AGI for 2013 (line 1) is your expected total income minus your expected adjustments to income.

Use your WAGES (income subject to withholding) plus "tentative profit or loss" (if you filed in 2012, this was 1040, line 22) and take your deductions from it.
Examples of deductions can be found on your 1040, lines 23-35. Student loan interest can be deducted (up to $2500), 100% of health insurance (IF you are not eligible to be covered on a spouse’s (or other person’s) insurance policy, if you are paying out-of-pocket for coverage & are self-employed). Tuition & fees (if qualified) deducted here. This is also where you deduct the portion of your self-employment tax (pull from line 11 of Estimated Tax Worksheet)

Example of Figuring AGI:

$39000 tentative profit (SE income minus business deductions)
-2755.27 (SE tax deduction)
-$2000 health insurance
-$2500 student loan interest paid
__________
$31,744.73 AGI

Cam_Model_Jess
07-03-2013, 12:38 AM
Estimated Tax Worksheet:

1. Enter AGI on line 1
2. Enter standard deduction on line 2 ($6,100 single, $12,200 MFJ, etc)
3. Subtract line 2 from line 1 and enter on line 3 (Ex: $31,744.73 - $6100 = $25,644.73)
4. Exemptions on line 4 ($3900 per person)
5. line 4 minus line 3, enter on line 5
6. Use the total on line 5 to figure your tax. Ex: Following the ongoing $40,000 example, with a single status, and one exemption, the total is now $21744.73 & this is your taxable income. Reference the tax table. In this example, you would pay $892.50 plus 15% of any amount over $8,925. So $21744.73- $8,925 = $12819.73
12819.73 x 15% = $1922.96 + $892.50 = $2,815.46
7. Enter your figured tax on line 6 ($2,815.46)
8. Follow instructions thru line 10
9. Enter self-employment tax on line 11 ($5510.53, from line 11 on the last worksheet)
10. Add lines 10-12 & enter on line 13a (2815.46 + 5510.53 = $8325.99)
11. This is your estimated tax. You are only required to pay 90% of this tax in quarterly installments.
For example: $2815.46 regular tax + $5510.53 SE tax = $8325.99 due
Take this amount & multiply by 90% (=$7493.40)
You are only required to pay this amount, but divided into equal quarterly payments (so, $1873.35 per quarter).
I prefer to pay 100% though, in case there are surprises later on. If you want to pay 100%, that's $2082 per quarter)

8326 x 100% = 832600 / 40000 = 20.815, so this example shows a 20.82% tax rate (actual tax paid to actual income before deductions)

Remember: The IRS does not deal in pennies. Round UP to the nearest dollar.

Cam_Model_Jess
07-03-2013, 12:48 PM
http://i.imgur.com/zlC3ZPT.jpg

http://i.imgur.com/perDkgp.jpg

~Carmen~
07-03-2013, 03:57 PM
Jess, thank you so much!

xxtinamariexx
07-04-2013, 07:22 AM
I have a question for indy girls, say we use Cammodeldirectory... are you able to use the amount he takes, that 25% as a write off? I guess to me, its a fee for advertising right? would that be the same for niteflirt? I would assume too, that I could write off the fees that payoneer charges too.. Just want to make sure, as I know that there are a lot of things we can't write off..

Cam_Model_Jess
07-04-2013, 09:20 AM
You can write off anything that you would otherwise pay taxes on. For example, with Streamate you cannot write off the 65% cut they take because that 65% isn't reported to the government as your income & you don't have to pay taxes on it. You can, however, write off any payment fees for FedEx or wire transfers (or, if they report your income on your 1099 excluding those fees, then you just report that income amount but you don't take a deduction for it). You can't write off a percentage that NiteFlirt takes from you because that's not considered income. Your income is what is left over after they take their cut, so writing it off would be like double-dipping. As for CMD, I'm not sure about that b/c I don't use them or know how it works. But you should be able to write off Payoneer fees.

Melonie
07-04-2013, 01:33 PM
I would also point out that there are OTHER reasons for paying 100% of the calculated estimated tax amount. For example, for 2013 the FICA tax rate was increased by 2% over the 2012 rate ... such that anyone working from forms issued in 2012 and paying 100% of estimated taxes at 2012 rates might be down near the 90% level relative to the actual 2013 rates.


(snip)"The self-employed person’s FICA tax rate for 2013 is 15.3% on the first $113,700 of net income and then 2.9% on the net income that is in excess of $113,700.

The self-employed person’s FICA tax rate for 2013 consists of the following:

- the employee’s portion of the Social Security tax, which is 6.2% of the first $113,700 of net income

- the employer’s portion of the Social Security tax, which is 6.2% of the first $113,700 of net income

- the employee’s portion of the Medicare tax, which is 1.45% of all net income (no cap or limit on net income)

- the employer’s portion of the Medicare tax, which is 1.45% of all net income (no cap or limit on net income)

In other words, the self-employed person’s FICA tax rate for the year 2013 consists of the Social Security tax of 12.4% (6.2% + 6.2%) of the first $113,700 of net income plus the Medicare tax of 2.9% (1.45% + 1.45%) of every dollar of net income. On the net income up to $113,700 the self-employed person’s FICA tax will be 15.3% (12.4% of Social Security tax + 2.9% of Medicare tax)."(snip)


I would also comment that $8326 taxes / $39,000 business income equals an 'effective' tax rate of 21.1% ... but this example also included some $4500 worth of personal tax deductions for student loan interest, for private health insurance premiums etc., without which the 'effective' tax rate would have been closer to 25%.

Cam_Model_Jess
07-04-2013, 10:35 PM
^True (about tax rate), which is why I save 30% no matter what. I simply end up paying less... usually around 24-25%. If you have low income and a lot of deductions, of course it will be lower than if you have high income and few deductions. I save 30% from each check no matter what. Then, if after including all my deductions in my estimated taxes, I have a lot of extra money in my tax account, I transfer some of it to my savings. Then again, I've been doing this for a few years, so I can compare previous years' amounts to see if I've made any big miscalculations. If it's a girl's first year doing her own taxes, I recommend saving 30% for sure, then you'll have a nice surprise at the end of the year if you have leftover.

Melonie
07-05-2013, 09:23 AM
^^^ Indeed ! And your 24-25% 'effective' tax rate does not include additional percentage if you live in a state that levees it's own income tax. Before I moved way south of the border, my New York taxes added another 7% on top of my 28% federal taxes !!!

As to using historical data to try and project future estimated tax withholding, though, next year is going to be a real mess in that regard because of the introduction of the IRS 1% of AGI ObamaCare penalty for girls who do not buy health insurance, as well as potential public health exchange insurance premium subsidy 'clawbacks' via the IRS for girls who buy health insurance through the public health exchanges which are slated to open this coming October.

xxtinamariexx
07-06-2013, 06:02 AM
^True (about tax rate), which is why I save 30% no matter what. I simply end up paying less... usually around 24-25%. If you have low income and a lot of deductions, of course it will be lower than if you have high income and few deductions. I save 30% from each check no matter what. Then, if after including all my deductions in my estimated taxes, I have a lot of extra money in my tax account, I transfer some of it to my savings. Then again, I've been doing this for a few years, so I can compare previous years' amounts to see if I've made any big miscalculations. If it's a girl's first year doing her own taxes, I recommend saving 30% for sure, then you'll have a nice surprise at the end of the year if you have leftover.


Jess, do you put the money into a savings for your taxes? As I actually have to send in the money to the IRS and state quarterly, with a little form from my accountant he was using what I had made last year from sept-dec. and then me sending in 35% of that figure

Cam_Model_Jess
07-06-2013, 06:43 AM
Tina, I deposit each paycheck into a savings account, leave in what I need to save for taxes, then transfer out (to a completely separate account) money for bills & personal savings. Each quarter I pay my taxes (I fill out the forms myself, but you don't have to mail in your Federal tax forms if you send a payment online) out of the "tax account" (just a separate account from my personal one).

caseychambers
08-10-2013, 10:51 PM
Tina, I deposit each paycheck into a savings account, leave in what I need to save for taxes, then transfer out (to a completely separate account) money for bills & personal savings. Each quarter I pay my taxes (I fill out the forms myself, but you don't have to mail in your Federal tax forms if you send a payment online) out of the "tax account" (just a separate account from my personal one).

What makes someone eligible to file every quarter? It seems like it would be more manageable for me. Should note that I also have a vanilla job that I make very little from ($1000 absolute max a month) and that income is taxed (my checks are my earnings - taxes)

Melonie
08-13-2013, 12:21 AM
^^^ all small businesses are required to file and pay estimated taxes to the IRS on a quarterly basis. All 'employers' are also required to withhold estimated taxes from 'employee' paychecks every pay period and to file and pay estimated taxes ( using the withheld money ) on a quarterly basis ... but the 'employees' typically never see the estimated tax payment process their 'employers' are conducting on the 'employee's behalf.

PrincessXOXO
08-16-2013, 10:03 PM
*falls over*
I am so naive! I didn't even think about taxes.
(I'm 18, so hopefully that will make it sound a little less ridiculous.)
God dammit. I'm gonna have to get some money together.

SarahTime
08-17-2013, 01:19 PM
*falls over*
I am so naive! I didn't even think about taxes.
(I'm 18, so hopefully that will make it sound a little less ridiculous.)
God dammit. I'm gonna have to get some money together.

If you are 18 and living at home or they are still providing most of your support, your parents could quite possibly be still claiming you on their taxes....which will create even more of a BIG issue for you AND your parents. Do some searches on taxes here, there's a lot on the subject.

Melonie
08-18-2013, 11:24 AM
^^^ PrincessXOXO, there is a fairly comprehensive response with nitty gritty details posted in the Dollar Den.

For a fact, US college student camgirls under the age of 24 remain legally 'joined at the hip' to their parents when it comes to reporting their incomes to the IRS ( taxes due ) and to FAFSA ( student grant money ). Thus in order to avoid major potential income tax / audit / student grant clawback problems for both the camgirl and her parents, it's absolutely necessary that the camgirl's and parents' tax returns and FAFSA applications be prepared in a 'co-ordinated' manner. This also means that to avoid these potential problems, there is no way that a camgirl can keep her camming activities and earnings a secret from her parents ... well at least not beyond the next tax return filing season !!!

In general the potential problem stems from the fact that US college student camgirls under the age of 24 are, by IRS and FAFSA code, still considered to be 'dependents' of their parents. This in turn leads to a bunch of nitty gritty negative effects on the student camgirl's taxes owed ... which are elaborated on in the Dollar Den posting.

sexidollface
08-19-2013, 10:08 AM
We went to a tax lady and we wrote off expenses In a schedule c form. We didn't have to pay any taxes, as a matter of fact we got money back and paid none in. That is our situation. Yours may be different. Do not be afraid to be honest with a tax professional who you think is cool! It's confidential, well supposed to be! Since you are running your own business, calculate you expenses for everything, equipment, makeup, hair, tanning, mani, pedi, props, etc. they will tell you what you can write off and cannot! I guarantee It wasn't that bad? Was it?

Melonie
08-19-2013, 10:16 AM
We went to a tax lady and we wrote off expenses In a schedule c form. We didn't have to pay any taxes, as a matter of fact we got money back and paid none in

From your use of 'we', I assume that you wound up filing a joint tax return ... which combined your own business income with a husband's paycheck income from which Social Security and Income Tax money had already been withheld. For a fact you 'paid', at the very least, 15.3% social security tax on your camming income. But this didn't appear as a separate item, it simply reduced the tax refund that your husband's paycheck withholding would have otherwise resulted in had you not had any camming income.

Yes there are a lot of other factors affecting the particular amount of taxes a given camgirl will owe. On the negative side are tax bills for social security tax ( aka self-employment tax ), for income tax etc. On the positive side are potential tax credits for college tuition payments, for 'earned income' credits ( a de-facto subsidy for low income tax filers paid for by higher earning tax filers ), for child care credits etc.

sexidollface
08-19-2013, 10:35 AM
BTW that bum of mine hardly paid in much. It was definitely the earned income credit for 1 dependent that helped us. And the write-offs! Doesn't the government reward small business owners still somehow? Or just with the write-offs?

Melonie
08-20-2013, 12:59 PM
where non - 'brick and mortar' small businesses like exotic dancers and camgirls are concerned, it's the business expense tax deductions.

tryry
08-23-2013, 01:41 PM
I've worked a couple cam sites and found it strange that some of the sites claim that they only send a 1099 Form (to entertainer and IRS) out at the end of the year if you made a minimum of so much money during the year. For example on NiteFlirt I had made 10,200, and they never sent out any 1099 Form because they said that their policy was to only send out 1099 forms if the entertainer made more than $20,000 a year. Other Sites like Stremate say that they will only send out 1099 form (to entertainer and IRS) if the entertainer makes more than $600 the whole year. So some sites use the $20,000 limit and some use the $600 limit. So do you all think they still report to IRS even if you make under the $20,000 or under the $600 ? Also anyone know what minimum limit that Chaturbate uses, the $20,000, the $600, or do they just report all income even if its 20 dollars ??

Melonie
08-24-2013, 09:44 PM
^^^ all that can be said is that IRS code defines $600 as the payout limit beyond which US based payers must file a 1099 report with the IRS. Non-US based webcam host sites aren't specifically bound by this US law. However, if Non-US based businesses do not voluntarily comply with the IRS reporting requirement in regard to reporting payouts to US citizens, it can affect their ( future ) ability to interact with the US financial system.

Streamates arguably discovered this fact a couple of years ago, and voluntarily ( as well as retroactively ) decided to issue ( belated ) 1099 reports for US citizen camgirls whose payouts exceeded the $600 IRS reporting limit. I only mention this case as an example that, just because a particular non-US webcam host chose not to issue 1099 to US citizen camgirls in the past, this is no guarantee that they will continue the same practice in the future ... or for that matter decide to retroactively issue 1099's for US citizen camgirl payouts that 'should have been' reported last spring.

Again, not wanting to propagate 'doom and gloom', but the IRS in conjunction with DHS is watching funds transfers which originate in foreign countries and cross the US border into the accounts of US citizens / businesses with greater attention than ever ( under the authority of terrorist anti-money laundering laws and treaties ). Thus even if a foreign webcam host decides not to issue 1099's to US citizen camgirls, there's a distinct possibility that the IRS is going to be made aware by other means that thousands of 'foreign' dollars are being transferred into the account of those US citizens.

REDDBONE
08-27-2013, 06:02 AM
ugh thank God i don't have to pay taxes! woohooo!

Melonie
08-28-2013, 03:36 AM
^^^ that will change drastically if your state legalizes your 'cash crop' !!!