I am concerned my self-employed EIC will be affected by my business tax deductions. Do I have to claim all deductions of losses that might effect my EIC?
Yes. You must claim all business tax deductions allowed for and related to your business regardless of your self-employed EIC status. This determines your net self-employment.
If you don't claim all deductions and business expenses, including depreciation, you might owe a penalty. This will happen if you misrepresented your deductions, including your business tax deductions, to gain other tax benefits, like:
- Earned Income Credit (EIC)
- Social Security
Ready to file?
You've got your forms. And we've got your back. There's only one thing left to do. Let's do this.
So how much will you get (or owe) this year? That’s the million-dollar question. We happen to have three very useful calculators to help you estimate your refund or balance due.