W-2

2 questions

Finance

How do I file taxes for the first time?

First-time filers need to choose a filing status, gather income documents (W-2, 1099), decide how to file (free software, tax pro, or paper), and submit by April 15. Most first-time filers qualify for free filing through IRS Free File.
Finance

What is the difference between a W-2 and a 1099?

A W-2 is issued by employers and reports wages with taxes already withheld. A 1099 is issued by clients or payers for freelance, contract, or investment income, with no withholding — meaning you owe self-employment tax and must pay estimated taxes quarterly.