Tax Laws

[Dr. Jones]

Hi, i'm a little confused. I've heard a few different things from different people. Basically i'm wondering on how i'll have to start worrieng about taxes if i start detailing more. The last two big thigns to cover before i start posting flyers and getting business are this and insurance. I'm sure the laws varry from state to state... but i figure somoene might be able to help. Here's what i have heard.

1) you can start up your own small business and pay the taxes on that... also might have to charge sale tax on the service if it's required.

2) If you make less than $500-$600 a job you can do it as a 'handy man' or something and you don't have to worry about paying taxes.

3) if i make less than a certain ammount per year (not job) i don't have to worry about it?

Any of you professionals (perhaps in the CO area) know what the rules are? My parrents have a really good tax lady (dad owns a couple businesses) and i might end up talking to her.. though that will cost me quite a bit of $$... trying to get answers here first.

Also kind of on a related subject.... I'm actually in a smaller town (small but still in the metro area... so there's lots of people and stuff around, but it's somewhat close nit) called Golden, Colorado. For my business name a friend sugested 'Golden Touch Detailing" How does that sound to you? It sort of has the small town local business piece to it, and also sounds professional.. IMO at least. Any thoughts?

[DETAILKING]

www.taxplanet.com

[NY detailer]

if you make money, you will pay taxes. You need to call your local tax dept to see what tax rate you are at. I have to charge 8.25% on every sale i do. whether it will be a product or a car detail, tax must be applied. Then ever 1/4 i send the IRS the check for the taxes that i collected. Then at the end of the year i pay income tax on the profit i made.
Taxes really suck!! but if you dont file on time, the penalties they give you suck even worse!!!
NYD