How to file schedule c for doordash?

[KatrinaB · Accepted solution]

You will need TurboTax Deluxe or higher to claim your self-employment income. If you want to deduct expenses related to your income then you will need TurboTax Self-employed. Please follow the directions below to enter your door dash income onto Schedule C.

1. Click the Federal tab on the left side of the screen.
2. Click Income & Expenses from the top of the screen.
3. On the next screen, scroll down to See all income.
4. Answer Yes to "Did you have any self-employment income or expenses"?
5. Continue through the interview to enter your business information.

 Please view the TurboTax link below for tips about filing this type of income and expenses.

https://turbotax.intuit.com/tax-tips/self-employment-taxes/filing-taxes-for-on-demand-food-delivery-...

[SweetieJean]

Note that you are required by law to claim your self-employment expenses.

[Xena-WP]

I made about less than $50.00 from Dashing with DoorDash, and via DoorDash's "Dasher Guide to Taxes" I won't be getting a 1099-NEC form since I didn't earn more than $600 for the year. I know I am required by law to report my "self-employed" earnings with DoorDash, but is the menial income I earned still going to cost me the Deluxe version of TurboTax?

[DianeW777]

If this was a one time activity and you don't really consider yourself in business in this activity then you can report this income as other income. Keep in mind you must report the full amount of income, before any expense, in this situation. 

The amount of income suggests this was not a 'for profit' venture since your involvement was minimal. If you later decide to engage in this type of activity as a business you can change to self-employment at that time.

Lastly, if you actually are in the business of delivery with several or any other vendor then include this income on the same self employment schedule since it's the same type of business activity.

To enter hobby income and expenses in TurboTax please follow these steps:

• Once in your tax return, click on Federal Taxes tab
• Choose Wages and Income
• Scroll down to Less Common Income and click Start to to right of Miscellaneous Income, 1099-A, 1099-C
• Click Start to right of Hobby income and expenses

[Theyumenoinu]

Would delivering a week scattered among a 6 month period and earning a total of 150.00 be considered a hobby/misc income or schedule C income? 

[DawnC]

It depends.  Did you have a profit motive when you were doing those deliveries?  If so, it is self-employment income that goes on Schedule C.  

The Internal Revenue Service allows you to take a tax deduction for legitimate losses incurred in the operation of your business. However, if your business claims a net loss for too many years, or fails to meet other requirements, the IRS may classify it as a hobby, which would prevent you from claiming a loss related to the business. If the IRS classifies your business as a hobby, you'll have to prove that you had a valid profit motive if you want to claim those deductions.

The key to determining if you’re self-employed is to assess whether you're in business for yourself or are the owner of your own business.

This includes any part-time businesses or private “side jobs” where you’re performing services in addition to a regular job or business.

You are also self-employed if you’re an individual who:

• is the sole proprietor of an unincorporated business
• works as an independent contractor, consultant or freelancer
• is a member of a business partnership
• owns or is part of a limited liability company (LLC)
• earns income through investments
• earns income through rental property

You may not think of yourself as running a business, but you’re considered self-employed if you engage in business-like activities.

Business activities include any activity where you:

• intend to make a profit (even if you operate at a loss)
• have regular transactions or production of income
• make ongoing efforts to sustain, grow, or further the interests of your business     @Theyumenoinu

[Lisa0215-]

I do not feel safe here. Your message said a month ago. My user was used a month ago. I never been here before.. Thank You

[Lisa0215-]

This is Turbo Tax.

[spbrendasp]

You dont have to file unless you made over $600. Edit: Glad we cleared that up, That's what I was told many times, by People that prepared tax for a living. That's why this site is good, to educate. Thanks!

[VolvoGirl]

$600 is not true.  You have to report all your income no matter how small.  Even $1 of bank interest.  If someone pays you they don't have to give you a 1099NEC unless it is 600 or more BUT you still have to report the income if it is less.  

Self Employment tax (Scheduled SE) is automatically generated if a person has $400 or more of net profit from self-employment.  You pay 15.3% SE tax on 92.35% of your Net Profit (If it is greater than $400).  The 15.3% self employed SE Tax is to pay both the employer part and employee part of Social Security and Medicare.  So you get social security credit for it when you retire.  

[spbrendasp]

That's good to know, I was mis informed. Although I've never made that mistake, I've never had under $600. Thanks!