When it comes to filing your Venmo taxes, the first step is to fill out Form 1040
. This is the official document used to file annual income taxes.
Paying self-employment taxes is a requirement for anyone that’s not a W-2 employee. Typically, taxes are taken from your paycheck and applied towards Social Security and Medicare taxes. Usually, your employer pays half of the 15.3% tax rate. But when you work for yourself, you’re now considered the employer and the employee and are responsible for paying the whole 15.3% tax rate. You can use a Venmo tax calculator
to help you figure out how much you might owe.
You can also deduct things like your home office or the miles you drive, which helps lower your tax bill. You’ll report these on Schedule C
. You’ll also use this Venmo tax form to report your total or gross income from your business.
But one Venmo tax document you won’t be receiving is a 1099-NEC