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taxmap/pubs/p570-017.htm#TXMP4ce8bf39 Paying Your Taxes(p18)

Paying Your Taxes

You may find that not all of your income tax has been paid through withholding by either the United States or the possession. This is often true if you have income that is not subject to withholding, such as self-employment, interest, or rental income. In this situation, you may need to make estimated tax payments.

taxmap/pubs/p570-017.htm#TXMP26e6d410 Estimated Tax(p19)

Estimated Tax

If your estimated income tax obligation is to the United States, use the worksheet in the Form 1040-ES package to figure your estimated tax, including self-employment tax. If you are paying by check or money order, use the payment vouchers in the Form 1040-ES package. Or, you can make your payments electronically and not have to file any paper forms. See the Form 1040-ES instructions for information on making payments.

taxmap/pubs/p570-017.htm#TXMP493c1768 Self-Employment Tax(p19)

Self-Employment Tax

Self-employment tax includes both social security and Medicare taxes for individuals who are self-employed.

A U.S. citizen or resident alien who is self-employed must pay self-employment tax on net self-employment earnings of $400 or more. This rule applies whether or not the earnings are excludable from gross income (or whether or not a U.S. income tax return must otherwise be filed). Bona fide residents of the possessions discussed in this publication are considered U.S. residents for this purpose and are subject to the self-employment tax.

If you must file Form 1040 with the United States, figure your self-employment tax on Schedule SE (Form 1040) and attach it to your Form 1040.

If you are a bona fide resident of American Samoa, the CNMI, Guam, Puerto Rico, or the USVI who has net self-employment income, and you do not have to file Form 1040 with the United States, use Form 1040-SS to figure your self-employment tax.

If you are a resident of Puerto Rico, you can file Form 1040-PR instead of Form 1040-SS. Form 1040-PR is the Spanish-language version of Form 1040-SS.

taxmap/pubs/p570-017.htm#TXMP2bfc8a07 Chapter 11 bankruptcy cases.(p19)

While you are a debtor in a chapter 11 bankruptcy case, your net profit or loss from self-employment will be included on the income tax return (Form 1041) of the bankruptcy estate. However, you—not the bankruptcy estate—are responsible for paying self-employment tax on your net earnings from self-employment.

Use Schedule SE (Form 1040), Form 1040-SS, or Form 1040-PR, as appropriate, to figure your correct amount of self-employment tax.

For other reporting requirements, see page 18 in the instructions for Form 1040.

Previous Page:  Publication 570 - Tax Guide for Individuals With Income from U.S. Possessions - Special Rules for Completing Your U.S. Tax Return Next Page:  Publication 570 - Tax Guide for Individuals With Income from U.S. Possessions - Double Taxation Use   to find additional occurrences of topic items.