for those who have a business and are paying tax

[sbug_adam]

I'm just having trouble figuring out if I have all my areas covered.

I filed with the comptroller and received my tax/sales id. Is there anything else I need to file/do?

[brad]

I discovered this week if you pay anyone any thing (including on 1099 - non-employee compensation), you owe the State unemployment tax on that amount.

[sbug_adam]

Its just me, no one else. heh. basically for starting up, any other forms besides the ap 201 sales tax form

anything for federal?

[brad]

Well, if you are making too much money, you might want to consider doing additional federal tax deposits so you don't get hit with a penalty for owing too much at the end of the year....

Otherwise, I'd say invest in a CPA.... at the very least to help you get organized at the beginning and then to help you file federal and state forms each year.

[sbug_adam]

i wish i made TOO much money. but basically is there anything I need to fill out (paper work) prior to starting besides sales tax use.

[CobyPhoto]

Originally Posted by brad

I discovered this week if you pay anyone any thing (including on 1099 - non-employee compensation), you owe the State unemployment tax on that amount.

Who told you this? This is WRONG. If they are actually Non-employee and independent contractors, you DO NOT pay State Unempployement tax on them. Period.

Contact TWC and ask. I deal with this all the time and I have NEVER paid unemployement on contracted work.

There is a few exceptions to this however. But they are pretty cut and dried and not tricky.

CJ

[brad]

Both my CPA and my TWC rep told me this.

[CobyPhoto]

Then they must not be indepent contractors. If I contract someone to do a job, for a specified amount of money according to a specific set of details and they go do it and return me the images, I DO NOT have to pay State Unemployement on that money. They are not my employee, but are independent contractors, and have no access to Unemployment benefits.

CJ

Deends on how you explained it to your CPA and TWC rep. That may be why you have to pay it.

[brad]

It was explained to them as models that I brought in for specific jobs.. and second shooters that I paid for wedding work.... and they both said the State Unemployment law should apply to them.

[PIC]

Originally Posted by sbug_adam

I'm just having trouble figuring out if I have all my areas covered.

I filed with the comptroller and received my tax/sales id. Is there anything else I need to file/do?

You prob dont have all bases covered.
There is great confussion on this no matter what "expert" you go to.
The feds are now under great pressure by administration to collect every red cent from small biz and common workers.
A guy I know that is a Luxury Home Builder just got audited on not having 1099's w independent contractors like roofers cabinet makers framers.
In the past ... there was no such enforcement but now that its 12Mill per month for Iraq and Read My Lips ... No New Taxes ... They will come after you even more.
The tax stuff along keept me away from such.
In SBA 50 % fail in their first 2 years and 80% in 5.
With New accounting rules more will abandon.

EL

[CobyPhoto]

Originally Posted by brad

It was explained to them as models that I brought in for specific jobs.. and second shooters that I paid for wedding work.... and they both said the State Unemployment law should apply to them.

Models I can see how they would make you pay that. You establish an employee / employer relationship. You have to tell them how you want the to do the shoot etc. and you furnish (most times) props etc. That would qualify it as Contract Labor. Subject to State Unemployment Tax.

If you contract a shooter, do not furnish any equipment to him, just have him shoot a wedding, in his style, with his equipment and furnish you nothing but the images, then he is in fact an independent contrator and you do not have to pay in State Unemployement taxes on him/her.

I can find you the letter and verse in the laws/or publication that TWC has for this. I will just have to look for it.

CJ