disposable_hero_too

I know there are a lot of variables, but I'm not looking for specifics, just some advice. Here is a purely fictional situation (based on real events ;) ):

I make $75,000 anually and my wife makes $25,000 anually. We typically file jointly.

My wife signed a contract to provide delivery services daily for $45 a day. The delivery route is 50 miles.

Our adult son is now doing the route/deliveries, being paid $30 per day.

My estimate is that the $30 per day in labor to our son, plus the 50 miles per day deduction will result in a net business loss (is this a safe assumption?) thus no income tax liability.

I have 2 questions for this situation. First, would it be better for my wife to file separately and claim the business loss on her income taxes (or would it even matter?) Secondly, how would self-employment taxes work in this situation (in general... I don't expect anyone to try to calculate specifics, but I would like to have some idea on what to focus on and expect)

Any and all help would be greatly appreciated!

I have searched online and cannot find a definitive answer to this. If I have a child whom I claim as a dependent, but made income at a job that held out Federal income taxes, if the child made less than the standard deduction, should he/she file a 1040EZ and if so would he/she expect a refund of all taxes paid? To make this a little clearer, let's say my child made $1500 in legitimate wages and his employer held out $200 in Federal income taxes... would he/she be able to file and receive a refund of that amount? Thanks in advance!

It has been too long since I did trig. Can you do this like algebra (i.e. difference of squares)?

(sin x - cos x) (sin x + cos x) / sin x (sin x - cos x)

(sin x + cos x) / sin x

1 + cot x

Is this legal in trig? How would you simplify the original function? Thanks in advance!