PARTNERS IN BUSINESS TABLE OF CONTENTS »
Good planning and recordkeeping help keep those payments at a minimum
Among the biggest challenges in operating your business is understanding how you are taxed.
This is an area where many new owner-operators run into problems. You can avoid any big surprises on April 15 by using good planning and recordkeeping throughout the year.
As an owner-operator, you now are responsible for paying your taxes yourself and calculating the net profit for your business. For anyone who was a company employee, this is a major change. It was your employer’s responsibility to deduct all required taxes from your paycheck, which then were reported on the W-2 you received in January of the following year.
Now you will receive a Form 1099 MISC, which shows the gross earnings your carrier reported to the Internal Revenue Service.
