Teaching dance classes, how will this affect my taxes next year?

Question

I am going to have an occupational license and hold my own insurance policy. I will be charging my students. How will this affect my taxes next year and how is the income filed? Thanks so much!

Answer 1

You will need to file next year Schedule C Profit or Loss from Business where you list the income you receive, and list all the expenses you have in running your dance classes -- rental of the dance studio, your dance outfits, your dance shoes, office supplies, etc.

http://www.irs.gov/pub/irs-pdf/f1040sc.p...

Buy JK Lasser's book on how to list all tax deductions for the self employed