seasonal self-employed
October 19th, 2012 by Questions
how do you calculate seasonal self employed payments as i need to put money away for winter months
Posted from: Ontario
One Response to “seasonal self-employed”
Please post a follow up comment below:
(Note: comments are reviewed by moderators and then posted after approval. In addition, due to high volume some of the comments might not be posted.)
You must be logged in to post a comment.
October 19, 2012 at 8:56 pm, A licensed trustee said:
Seasonal income is treated as any other income – you are permitted to deduct the same expenses you may deduct for income tax purposes, and of course you can deduct your icome taxes too – assuming you’ve paid them.
The way the surplus income rules work now is that you report for 7 months and your trustee determines your average income for the period. If your average income exceeds the surplus threshold by $200 pr more then you are required to make the surplus payments and your bankruptcy will be extended. If when the average is calculated your income is less than $200 over the trheshold then you bankruptcy will end more quickly and you are not required to pay any surplus.
When you speak to a trustee remember to ask about the averaging calculation and factor in which mnonths of the year will be used for your 7 month period.