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How does a stripper file their taxes? ?
Strippers are considered private contractors. The club they work at they do not get a 1099 or w2. Can any one help me?? Can you do it electronically?
PLEASE HELP LOTS OF DetaiL!
4 Answers
- 1 decade ago
Most strippers are improperly classified as independent contractors. Only the "headliners" who travel from club-to-club are properly classified as independent contractors. If you regularly perform at a single club, on a schedule set by the club, you are an employee.
You can hard-rock the issue by filing a Form SS-8 with the IRS if you wish though most likely that will cost you your job, either through retaliation or bankruptcy of the club.
If you decide to file as self-employed then you attach Schedule C or C-EZ to your Form 1040 return to report the income and business expenses. If the net profit is $400 or more, you attach Schedule SE to calculate the self-employment tax.
You are required to keep accurate business records of your income and expenses. At the very least you need to keep a cash receipts journal showing all income, tips, etc. You should back that up with bank deposit records showing that you deposited all of the money in the bank. You also need receipts for all business expenses.
I've been working with a couple of strippers who were hit with massive assessments by the IRS following an IRS audit of the club where they worked. Seems that a couple of "regulars" at the club were IRS agents gathering information on the cash flow of the business. The club was hit with an audit that bankrupted the club and its owners and most of the girls were nailed with assessments based upon the IRS' estimate of their earnings. One gal had kept pretty good records and I was able to get the assessment slashed by nearly 70%. The other was not so lucky and will be paying the IRS for several more years. (Her "Help Me Pay My Taxes" gig is pulling in pretty good money but she really is "shakin' her booty" for Uncle Sam right now.)
- JudyLv 71 decade ago
You'd report your income and allowable expenses on a schedule C or C-EZ, and also fill out a schedule SE to calculate your self-employment tax (social security and medicare). The numbers from the bottom of the two schedules will transfer to your form 1040.
That return can be filed electronically, but generally not through the free sites.
You'd be wise to consult a tax professional, at least for one year so you can see how it works.