Internal Revenue Service United States Department of the Treasury
Module 14: Self-Employment Income and the Self-Employment Tax

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Sim 14B: Using Form 1099-MISC to Complete Schedule C-EZ, Schedule SE, and Form 1040
Simulation Info: James King; Marital status: Single; Background: You are a high school student and live with your parents. You have business expenses and received Form 1099-MISC.

You are 16 years old and single. You are a U.S. citizen. You live in the United States with your parents, who pay for all of the costs of maintaining your home.

You are a full-time high school student. After school and on weekends, you provide lawn care services for your neighbors and for a local business. You are not an employee. You are correctly classified as an independent contractor. Your parents are very generous—they let you borrow their lawnmower. You buy the gasoline for the lawnmower.

It's the last day of the year. You earned $650.00 for mowing lawns for your neighbors. You earned $900.00 for mowing the lawn for the local gas station. You received Form 1099-MISC from the owners of the gas station, showing the amount you were paid.

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