The open road… Self-employed truckers appear to experience IRS issues constantly. Why become a truck driver? You can set your own hours, and the pay is respectable. However, the IRS is after a share of your wealth because they are aware that it is also quite good. They will receive a sizable portion if you fail to correctly file your IRS return.
Truckers are an IRS-Hitman’s main source of income, so be ready. You could be hit by the IRS for thousands of dollars in back taxes in just one year. But I’m here to offer you some advice that will help keep the IRS debt collectors off your back.
In order to file a 1099 tax return, which is a challenging and intricate form to handle since you are self-employed, stay on top of things. I also understand that some of you have incredibly busy schedules and don’t want to waste the little time you get to spend at home each year going through receipts and invoices. Keeping track of your income is also made challenging by the fact that your money doesn’t arrive like a regular paycheck.
Keep all of your receipts! I’ll repeat what I just said because I know you’ve heard it before…Keep every receipt you receive! You typically make around $100,000 in gross annual income, which is why. Currently, after having to pay for truck maintenance, gas, food, lodging, tires, etc…you probably only take home about $30,000-$40,000 at the end of the year.
You will be driven off the road by them…Only that gross income amount is considered when the IRS determines your tax liability. If you failed to keep your receipts, you will be screwed by the IRS and unable to deduct any of those costs as business expenses.
An Simple Fix… I was talking about this with a retired banking manager friend of mine. Her previous work included assisting truckers with their bank accounts and loan approvals. Previously, she advised the drivers to place their receipts in a bank deposit bag that they could carry around. Everything can then be contained in a single, portable container. And no, you shouldn’t keep your receipts on the dashboard or in the passenger seat.
Keep your money safe from the IRS. To have your own business, you’ve put much effort.
The smoking gun is here right now…Use it!