Freelancers face being “left out of pocket” because tax plans that would result in the self-employed paying regular monthly tax bills as if they were employees, according to new polling.
Two in five freelancers would be left struggling with cash flow if proposals for a monthly or quarterly pay-as-you-go tax regime came to fruition. It would require the self-employed to pay tax in advance, based on their profits from the previous year.
I’ve had $200,000 years. I’ve also had $30,000 years.
So the intention is that I should pay tax on $200k in a $30k year?