Thursday, July 30, 2009

Can I file one Schedule C if my wife and I are doing a joint return?

My wife and I are self employed contractors and every month we get one check in both of our names each depending on how much we worked. At the end of the year we get one 1099-MISC form in both of our names. It is not a legal partnership, but my wife and I both work on each project together and when we attend a convention out of town or have to travel for business I need to be able to write off the expenses of both of us, and do it legally.





Does filing together mean I can put the total expenses for both of us on one Schedule C? There is no way to file one of them for each of us because the income is generated by both of us.





Thanks!

Can I file one Schedule C if my wife and I are doing a joint return?
Yes, if it's for the same business. If you had separate businesses you'd have to file a separate schedule C for each business.
Reply:I would do separate Schedules C. You have to file two Schedules SE and separate Schedules C will make it easier to handle the SE taxes. The final tax bill will be the same either way.





However I strongly question the single 1099. Forms 1099 must be issued to each taxpayer, they are not a joint form any more than a W-2 is. The companies paying you MUST provide individual Forms 1099 for the monies actually paid to each of you.
Reply:Each does a schedule C and Schedule SE
Reply:Being that both your names are one your pay, on the 1099 misc.and your filing jointly. I would do only one Sch. C. Hope this helps.:)


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