I'm hoping some of you ladies can help me as I really want to start off on the right foot in terms of being above-board with my escorting income. I did a search for this but the advice is so mixed up between escorting/camming/selling content etc.
I understand that as it's my first time paying taxes for this,for the first year I can pay it all a year from now without any penalties for not doing quarterly payments. So I'm wondering, with escorting being a touchy subject in terms of legality, how do I approach this in terms of the IRS? I figured you just put down a similar job, such as modelling or the generic 'consulting" but is actually legal to do this, or can you be punished for putting down that the money came from a job that you don't really do? Also, won't the IRS be suspicious if you suddenly begin earning a large income and all your deductions are for things like hotel rooms, advertising for appointments on adult sites and things?? I guess you could avoid that by not deducting them, but if I'm going to be losing 30% of my money to taxes, I want to be able to at least claim legitimate deductions! Will it raise a red flag or even get you in legal trouble, if you are claiming money as a consultant or personal assistant, and the deductions and cash income point to escorting? Someone suggested to me that instead of claiming deductions, she just takes it out of the income she declares - for example, instead of having $500 income from an appointment and deducting a $100 hotel room, she just declares $400 in income. Is this ok to do, or is it more "proper" to declare the full income and then all the deductions.
Also, do you file as self-employed, or an independent contractor? I guess technically I'm an independent contractor through dancing, although I've never received a 1099, so I'm not sure if I would be considered that for escorting too? Or would I be self-employed, although I haven't officially registered a business name or anything like that? I saw some people on here recommend having a second bank account just for business expenses, so I'm planning to do that.
*confused* I'd REALLY appreciate any advice, either here or by pm!
xox



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Im claiming that too.

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