I have a simple, yet complicated tax question. I worked for a company last year for the first 5 months, then for the last 7 months I was self- employed. Do I file two separate forms? Anything you can tell me I will greatly appreciate.
Here’s a lawyerly answer for you: yes and no.
You’ll only need to file one tax return. In your case, you’ll likely need the long form, a plain vanilla 1040.
Report your wages paid by the employer just like normal, using your form W-2, on line 7 of your 1040.
When it comes to your self-employment wages, you’re likely going to want to file a Schedule C so that you can include your self-employment income and deduct the expenses associated with running your business. The Schedule C is basically just an addendum to your 1040 – not really a separate form in the pure sense, but an additional page (check it out here as a pdf).
Like any good lawyer, I need to add a disclaimer: Unfortunately, it is impossible to give comprehensive tax advice over the internet, no matter how well researched or written. Before relying on any information given on this site, contact a tax professional to discuss your particular situation.