USA Sole Proprietor - Taxes & Foreign Payment

[AmazingTrans]

Hi there,

I really appreciate whoever who is going to reply my questions, and give me an idea what I am doing and where to begin.

Here it goes:

I am an engineer and I work full-time for a company.My personal income tax bracket is between $72,501 - $146,400 which is 25%. For example sake; let's say $80,000

This year, I just started doing business on the side. I have been getting service calls about programming and engineering jobs, within the USA and South America for eg: Mexico, Ecuador, Argentina, & Chile. The total income I bring home is still within that tax bracket. Side income: Just say $20,000.

Lately, I also just signed up for a sole-proprietor EIN number online as well. Now my questions are:

I will start with the hard one's first.
1) I have my current full-time job in Indiana, and when I did one of a side job, that employer from Missouri said he was going to give me a W2. And I noticed they already deduct the income earn with their Missouri tax. (They are hiring me as an employee but I work through home in Indiana). During tax season, do I have to file two different state taxes (Indiana, and Missouri just for that project?)

2) I also did another project in a south america where their country charges 25% foreign tax on us if we were to invoice them as service (hourly rate).
Since I am new in this field, one of the accountant suggested that once the project is wrapped up, I have to send them the program in any form (email, CD, USB) as an export of asset and just total all the price as the product cost instead of service jobs. I understand this part on my end is pretty much selling software to the customer instead of calling it a service. Just say the cost here is $5,000. The customer will be wire-transferring money to my bank account.

Now the question on my end is: do I pay taxes and consider the $5,000 as income only or do I also have to pay sales tax or charge the customer sales tax ?

3) Continuation from number (2). Since I am selling this as a software product (which is just a USB stick / CD / email with program provided by me or the customer), do I have to register myself to any local county for selling product like program ?

4) Since I am a sole proprietor, do I have to pay taxes every 3 months? or can I just pay like usual which is on the April 15?

5) The benefit part hopefully. Since I registered as a sole proprietor, can I buy a laptop for business and write it off my tax? How much can I write off in a year?

My questions here probably might be complex, might be easy. But I am seeking for a basic answer and ideas before I consult a CPA.

Hope to hear from everybody!!! Cheers, AT

 

[The Finance Writer]

What you need to do is hire a tax professional. Convey to that person all of the money you collected for providing services as an independent contractor. For example, receipt of $5,000 that's related to your services is income. Next, get advice about tracking your expenses. You do owe estimated tax payments unless you increase tax withholding on your wages.