Obtaining tax id?

is it nescessary to get a tax ID to make some deductions? I consult and make 5k in the summer and I want to deduct the use of my house as a business expense. Do i need a tyax ID to do that? What are the benefits of obtaining one?

NO -- you don't need a tax ID.

You only need a tax ID or EIN (Employer Identification Number) if:

- you are a corporation or partnership
- you have employees
- you file any of these tax returns: Employment, Excise, or Alcohol, Tobacco and Firearms
- you withhold taxes on income, other than wages, paid to a non-resident alien
- you have a Keogh plan

Read the complete list at IRS "Do you Need an EIN?" http://www.irs.gov/businesses/small/arti...

You can simply use Schedule C for your business expenses and income.

I strongly suggest you read IRS publication "Business Use of Your Home" to understand how to deduct home office expenses. Excessive home business deductions is one of the red flags for audit that IRS is looking for, so be careful as to what you deduct and stick to the guidelines

http://www.irs.gov/pub/irs-pdf/p587.pdf

If you only had consulting income during a couple months, be very careful with that home office deduction to be sure you meet all the requirements.

Nope, you can simply report your income and deductions on Schedule C using your SSN. If you want a Federal ID #, it's easy to get online @ irs.gov--Form SS4