Today’s Accomplishment: City Business Taxes…DONE!

It took me a year or so to understand that, along with Federal Taxes and State Taxes, as a screenwriter… I also have to file City Business Taxes!

What?

It’s true. If you file a Schedule C (which you probably do if you receive a 1099 form)* and you live in Los Angeles (or some of the zip codes around the city), you need to register as a business and then pay taxes.

The good news is that you can apply for a Creative Artist’s exemption, which waives your tax obligation if you make less then $300,000. The bad news is that even if you don’t make close to that, if you don’t register and fill out the form, they can still hit you with a penalty.  I paid a small penalty for the year I didn’t know what I was doing.

The other thing to know is that the filing deadline for LA City taxes is NOT April 15.  It is February 28!

Today, I filled out the what they call the “business tax renewal form” –which is confusing–am I renewing my business?  paying my taxes? both? It’s unclear, but I know it’s the thing I have to do each year.  This year’s renewal was ridiculously easy, which is the upside of a year with non-existent revenue I guess.

But I am proud of myself because I remembered to do it, and now it is done!

If you are a freelancer and need to register your business or “renew your business tax ” you can do it at finance.lacity.org.  I did the registering in person, and the lady who helped me said that my “business activity” was “Radio/TV/Theatre” and the my “fund class” was “L045.” Yours might be be too.**

*Disclaimer: I am not a tax professional and am just repeating stuff that people have said that sounds about right.

**Again, not a tax professional. You might want to talk to your own helpful lady at one of these locations or phone numbers.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s