What proof do i need to file taxes if i do cleaning jobs for individuals on a weekly basis.?

Question

if i would be cleaning for a person or persons and they pay in check or cash how do i file my tax return what proof do i need .

Answer 1

Good accounting.

Deposit all cash or checks into a bank account. A separate account would be best, but if you use your personal account, keep records of where the money comes from.

Keep a written record of what each person pays. It should agree with the bank record.

Keep a record of personal expenses. Receipts would be a nice touch.

Declare the income you make on Sch-C, and take the expenses on the same schedule.

That should be sufficient, if you're a sole proprietor.  

Answer 2

Keep a diary, date book or just a list with date, from whom, where and the amount.  The reason for "where" is because that helps substantiate your mileage expense.  You could write the mileage down each time, too, and IRS would love your records.

Answer 3

You should be giving them a receipt everytime they pay you. You can buy a basic receipt book at Staples, Office Max, Walmart, Kmart, or Target (along with many other places.) Use those receipts at the end of the year (or quarterly if you make more than $1000 every 3 months) to pay your taxes. You will also have to pay 100% of your own social security at that time.

You might want to consider talking with an accountant. They don't have to be expensive to be good, after all, they know from your receipts that you aren't a millionaire. However, watch out for scams and NEVER pay your taxes to your accountant. Those checks should only be made out to the Internal Revenue Service and your state department of revenue. A reasonable accountant shouldn't charge you more than $100 for what you need.

Answer 4

Your own records of what you earned is your proof if you are ever audited.  Keep good records.

Answer 5

First thing is you need a sellers permit if you state collects sales tax. Unless you work for non profit organizations. If not your going to have to start collecting sales tax for your work. Being self employed, your going to have to account for all your deposits that you make in the bank. If you work for cash witch is best, I'd recommend not puting it in the bank. Along with your 1040 tax form, you will also have to fill out a schedule C profit and loss from business, for this you will need to keep all your reciepts and a log of your cars milage. You are also going to have to fill out a schedule SE self employment tax. if your making alot of money I recommend an accountant. If not you can do it yourself,or just have a tax professional fill it out for you. If this is a small part of your income you may be able to just add it to your 1040 form under other income. Talk to your tax professional. If your looking for what amount of income you need to prove than look at your bank account deposits. If you don't have a bank account than try to remember how much you made and keep a log of the people you worked for and what they paid you. During a tax audit you need to prove your income. If you work for cash it will be difficult for the IRS to disprove your reported income, but you will still need to keep a log to prove your income.