I know many of you have small businesses for your trapping . lure sales or many other things you do or sell.

I am looking at doing some work with a farm that will be more than I have done in the past not a ton. I will need to buy some equipment to update what I have

do you form an LLC or just have them issue a 1099 income statement.

if you don't form an LLC how do you document and file taxes showing you got paid X for the job and what your equipment and consumables costs were.

Just a sole proprietership- which means the business doesn't exist as a separate entity. You are all there is and it's your income. Income and expense gets reported on schedule c at tax time. Schedule c calculates profit which flows to your 1040. You also need to file schedule SE to pay your self employment tax. Self.employment tax should be filed and paid quarterly or youll owe penalties for not following the rules.

After decades in business it's all easy now. I was completely lost at tax time when I first started out.

Maintenence guy summarized very well. The LLC is likely not going to offer any real advantage or protection if your working out of your home.

thanks

do I only need to file income report for the quarters I have income, day I only work on a project in Q1 and Q4 do I need to file Q2&3?