How do i directory my taxes as an insurance agent/producer P&C?
I work with an independant producer in Arizona below his contracts with insurers and recieve 100% of the comissions for all the business i write. I own a P&C lisence what kind of situation am i exactly in by working underneath his contracts but reciveing full comission checks
You call for to hire an accountant.
If he pays you commission, does he cover you under his e&o?
You have to demarcate the relationship, but likely you're a subcontractor.
Answers: Put aside a minimum of 35% of your income to cover your taxes.
Send in quarterly tax payments (form 1040-ES)
Next year, you report your income, and deduction, on a Schedule C, which goes with your 1040 toll return.
If you've never done that kind of tax return past, I strongly suggest you get help doing it. Someone next to experience will know how to save you money and not make big mistakes.