The determination of whether your son's income as a newspaper carrier is subject to Social Security and Medicare taxes, and whether he must file a Schedule C, depends on several factors, including his age and the amount of his earnings.
- Age Consideration:
- If your son is under 18 years of age, his income as a newspaper carrier is generally not subject to Social Security and Medicare taxes. This is specified in multiple excerpts, which state that newspaper carrier income for individuals under 18 is not subject to these taxes.
- Income Threshold:
- Regardless of age, if your son's net earnings from self-employment are $400 or more, he must report the income on Schedule C (Form 1040) or Schedule C-EZ (Form 1040) and pay self-employment tax on the income. This includes Social Security and Medicare taxes. This requirement is reiterated in several excerpts, emphasizing that net earnings of $400 or more necessitate filing Schedule C and paying self-employment tax.
- Self-Employment Tax:
- If your son's net earnings from self-employment are $400 or more, he must use Schedule SE (Form 1040) to figure the self-employment tax, which includes Social Security and Medicare taxes. This is consistent across the retrieved information, which outlines the process for calculating and reporting self-employment tax.
In summary:
- If your son is under 18, his income as a newspaper carrier is not subject to Social Security and Medicare taxes.
- If his net earnings from self-employment are $400 or more, he must file a Schedule C (or Schedule C-EZ) and pay self-employment tax, which includes Social Security and Medicare taxes, regardless of his age.
Sources:
Publication 334 (2023)
Publication 926 (2024)
Publication 17 (2023)
Publication 15 (2024)
LTR 8834019
Publication 533
