I Want To Sell My Drawings?

Question: I Want To Sell My Drawings!?

How would I go about paying taxes!? I know when I sell my art I would have to pay taxes won't I, or do I just keep the money for myself!? Www@QuestionHome@Com

Best Answer - Chosen by Asker:

Start with a garage sale!. No taxes there!. If you do well, sell them publicly and report your earnings on the tax forms at the end of the year!. Make sure you keep proper records in case of an audit by the IRS!.Www@QuestionHome@Com

Yes, you need to pay taxes!. Not just income tax, but gross receipts tax as well!. You should apply for a business license (fees vary by location, mine is $25/year), and they will send you the info on the sales tax/gross receipts tax!. You can contact your local Small Business Administration for help, usually for free!. Depending on how much you make, you'll have to fill out the Self-employment income tax form!. The good news is you can deduct all your appropriate expenses!. If you aren't willing to invest a lot of time into learning about taxes, hire a CPA but keep meticulous records!. Start with the SBA, though, they can guide you through the whole process!.Www@QuestionHome@Com

There is a line on the 1040 and 1040A for reporting other income!. If you make more than $750 after expenses, you'll want to use the Small Business Schedule C!. Your tax professional can tell you more or read up on it at www!.irs!.gov!.
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