Daisy Does Taxes F.A.Q.
So you found a sex worker friendly accountant. Not sure where to start? Here are some of the most common questions new clients have for us at Daisy Does Taxes.
If you have additional questions, or would like clarification on any of the questions listed below, we would love to hear from you!
The Essential FYIs
Frequently Asked Questions
Do I need to file my taxes if all of my income is in cash?
Yes! If you receive cash income in exchange for a product or a service, you are considered self-employed, and will be taxed on that income. You’ll need to file a tax return to report your self-employment earnings and valid business expenses for the year.
Do I need to make quarterly tax payments?
If you expect to owe $1,000 or more at the end of the year, and your withholdings cover less than 90% of your tax owed, the IRS expects you to make tax payments each quarter. Most self-employed folks will need to make quarterly payments.
How does a 1099 work?
A 1099 is an informational tax form that reports income a taxpayer received during the year. If you are self-employed, you may receive a 1099-NEC that reports your self-employment earnings that year. This is why most paysites will ask for your legal name, birth date, and SSN when you sign up.
You will receive a copy of your 1099-NEC in January of the following year. The IRS receives a copy as well, so it is important to report this information on your tax return!
You will receive a copy of your 1099-NEC in January of the following year. The IRS receives a copy as well, so it is important to report this information on your tax return!
Do you file back taxes?
Yes! I regularly work with clients to file previous years’ tax returns.
I receive payments from clients using Venmo / Cash App / PayPal / Zelle. Do I need to report these payments on my tax return?
Any payment received in exchange for a product or service is considered self-employment income and needs to be reported on your tax return. If you are unsure whether your Venmo/Cashapp/PayPal/Zelle income is taxable, I am happy to help. You can schedule a consult with me to discuss here.
I’ve never filed taxes before. Can you help me?
Of course! Whether you would like to file previous years’ tax returns, or current/future tax years only, I am happy to help.
What are the benefits of hiring a sex worker accountant?
As a sex worker myself, I have the unique ability to utilize my knowledge of the adult industry when analyzing tax laws.
I have worked as a sex worker in many different roles, including in-person and online, so I have first-hand experience and know what it takes to run various types of sex work businesses. I can help you identify specific write-offs that are unique to your type of work.
You’ll never have to explain why a ball-gag is a valid business expense to me!
I have worked as a sex worker in many different roles, including in-person and online, so I have first-hand experience and know what it takes to run various types of sex work businesses. I can help you identify specific write-offs that are unique to your type of work.
You’ll never have to explain why a ball-gag is a valid business expense to me!
Do I need to file my taxes if my business spent more money than it earned this year?
Yes! You will need to file a tax return to show how much income your business earned, and how much your business spent in valid write-offs that year. Even if you had a net loss (spent more than you earned), this information needs to be reported on your tax return each year.
When are my quarterly tax payments/annual tax return due?
We created a calendar with every federal tax deadline for 2023 to make this easy for you.
Check it out here.
What are your credentials?
I am an Enrolled Agent, meaning that I am enrolled to practice and represent taxpayers before the Internal Revenue Service in all tax matters.
Learn more about Enrolled Agents and what we do here.
Learn more about Enrolled Agents and what we do here.
Do I need an LLC/S corp?
There is no one-size-fits-all answer. I would be happy to chat with you about your business and help you decide if an LLC or an S corp is the right choice for you.
Can I write off your services on my taxes?
If you are self-employed, you can write off Daisy Does Taxes tax preparation and consulting services as a business expense!
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