I have worked for the past year as an Independent Contractor working for numerous companies. I get paid per shop 10-30 dollars per completion. I have not yet made 600 dollars with anyone company but have made that much working combined. Can I still file
by 
maemarie
ANSWERS: 4
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If you are making under $5000 yearly, you are not a contractor. Your income is considered a hobby. You must declare the income, but you are not allowed to deduct any expenses.
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You should file a schedule C (income from business / sole proprietor), and deduct your expenses. The only thing that matters regarding the $600 limit is whether or not the client company has to issue a 1099-Misc declaration or not. If they issue those forms, the IRS will get a copy and they will know about your income, otherwise the only source of information they have about your income is your own declaration. The proper way to do it is to declare all your gross receipts (including income reported on 1099-misc), deduct your legitimate business expenses, and then transfer the result of Schedule C onto the appropriate box of your 1040. Whether you make a profit or not isn't relevant, you can even deduct business expenses from your other income if your business lost money during the year. However, if your business loses money continuously, the IRS is likely to look at it as either a scam or a hobby and reject your business deductions retroactively.
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Can you still file what? You are a sole proprietor and need to file a Sch C with your Form 1040.
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Yes, and you must file by oct 15 2008 if you want the stimulas payment.
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