Schedule SE - Self-Employment Tax

See here for more detailed information about Schedule SE.

In Tax Processors Plus Desktop, self-employment tax is automatically calculated based on the self-employment earnings and deductions included on Schedules C and F along with the self-employment income and guaranteed payments indicated on a partnership Schedule K-1, and for many tax returns the Schedule SE menu doesn't need to be visited in the program. However, there are situations that may necessitate directly editing or adjusting Schedule SE:

• The taxpayer has an approved Form 4029 or 4361 exempting them from self-employment tax.
• The taxpayer is a church employee and not a minister or clergy member.
• The taxpayer is a minister or clergy member.
• The taxpayer's self-employment income includes notary income, which is exempt from self-employment tax.
• The taxpayer is deferring self-employment tax payments.
• The taxpayer is using one of the optional methods to calculate self-employment tax.
• The taxpayer is in Chapter 11 bankruptcy and has self-employment income to report.

To edit Schedule SE in Tax Processors Plus Desktop, from the Main Menu of the tax return (Form 1040) select:

• Other Taxes
• Self Employment Tax (Sch SE) - For a MFJ return, indicate if the schedule is for the taxpayer or spouse.

Note: This is a brief guide on Schedule SE in the Tax Processors Plus Desktop program. It is not intended as tax advice.

Additional Information:

Minister / Clergy Member Tax Return

IRS: Instructions for Schedule SE (Form 1040), Self-Employment Tax

IRS: Instructions for Schedule C, Profit or Loss From Business

IRS: Instructions for Schedule F, Profit or Loss From Farming