United States Tax Requirements
EIN and SSN requirements for dancers working through Flow Ballee in the United States
Tax Requirements for the United States
As an independent contractor in the US, you need to provide tax identification information for payment processing and 1099 reporting.
Types of Tax IDs
Social Security Number (SSN)
- Who uses it: Individual contractors
- Format: XXX-XX-XXXX (9 digits)
- Example: 123-45-6789
Employer Identification Number (EIN)
- Who uses it: Sole proprietors with employees, LLCs, corporations
- Format: XX-XXXXXXX (9 digits)
- Example: 12-3456789
Individual Taxpayer Identification Number (ITIN)
- Who uses it: Non-US residents who need a US tax number
- Format: 9XX-XX-XXXX (starts with 9)
Which Tax ID Should I Use?
| Situation | Recommended Tax ID |
|---|---|
| Individual freelancer | SSN |
| Sole proprietor with employees | EIN |
| LLC (single member) | SSN or EIN |
| LLC (multiple members) | EIN |
| Corporation | EIN |
| Non-US resident | ITIN |
Most individual dancers will use their SSN.
How to Get an EIN
If you need an EIN, you can get one instantly online:
- Go to irs.gov/businesses/small-businesses-self-employed/apply-for-an-employer-identification-number-ein-online
- Complete the online application
- Receive your EIN immediately upon completion
The online application is available Monday-Friday, 7am-10pm Eastern Time.
Bank Account Information
US payments require:
- Routing Number: 9 digits (identifies your bank)
- Account Number: Varies by bank
Both numbers can be found on your checks or in your online banking portal.
1099 Tax Reporting
If you earn more than $600 in a calendar year from Flow Ballee, you will receive a 1099-NEC form for tax reporting purposes. This form reports your earnings to the IRS.
Important 1099 Dates
- January 31: 1099 forms sent to contractors
- April 15: Tax filing deadline (unless extended)
Self-Employment Tax
As an independent contractor, you're responsible for:
- Self-Employment Tax: 15.3% (Social Security + Medicare)
- Federal Income Tax: Based on your tax bracket
- State Income Tax: Varies by state
Estimated Tax Payments
If you expect to owe $1,000 or more in taxes, you may need to make quarterly estimated tax payments:
- April 15
- June 15
- September 15
- January 15 (following year)
Deductible Business Expenses
As a self-employed dancer, you may be able to deduct:
- Dance classes and training
- Costumes and dance wear
- Travel expenses for performances
- Professional memberships
- Marketing and promotional materials
Keep receipts and records for all business expenses.
State Requirements
Some states have additional requirements:
- California: Franchise Tax Board registration
- New York: State tax ID
- Texas: No state income tax
Check with your state's tax authority for specific requirements.
Useful Resources
- IRS Self-Employed Hub: irs.gov/businesses/small-businesses-self-employed
- Apply for EIN: irs.gov/businesses/small-businesses-self-employed/apply-for-an-employer-identification-number-ein-online
- 1099 Information: irs.gov/forms-pubs/about-form-1099-nec
- Estimated Taxes: irs.gov/businesses/small-businesses-self-employed/estimated-taxes
Need Help?
Consider consulting with:
- A CPA or tax professional
- A bookkeeper experienced with self-employment
- Free tax preparation services (VITA) if you qualify