WindFlight
You mentioned tax deductions in one or two of the posts. Would that apply to underage writers? (13-17, specifically?) If so, in what way? I am afraid I am not very knowledgable about taxes but I think before considering going to a publisher, I would need to be informed on this. Thank you.
I really can't give tax advice, but I can try to clear up a few things.
Tax deductions are not the same thing as losing some of your income to taxes. I'm pretty sure I only mentioned the latter--paying taxes on your writing income. Deductions are a separate issue that you probably don't need to worry about--at least not for now.
Basically, yes, as a minor you would still have to fill out tax forms and pay taxes on your income, just as you would pay taxes if you worked a retail job or something. Depending on what you earn you may get some of it back, the same as any other job.
The difference with writing income is you will owe more because you pay the self-employment rate (with a regular job, your employer pays a percentage of this). And since it's not taken out of your paycheck in advance the way it is if you get a regular paycheck, you need to figure out how much you owe and make sure you set aside that amount for filing taxes. You would need to figure out how to file your local and state taxes as well.
There's more to it than that, but again, I'm not an accountant. My plan is to hire an accountant to make sure everything's in order as soon as my taxes get any more complicated than they are now.
xp
Does that help at all, or did it just make things more confusing?