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I used a rebate app called ibotta and received $842 for several personal items. I do not have a business. Do I enter this as income in TurboTax? Or not?
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I used a rebate app called ibotta and received $842 for several personal items. I do not have a business. Do I enter this as income in TurboTax? Or not?
The short answer to this kind of question is no. Rebates, in general, are not taxable income to an individual taxpayer, unless that person first took a tax deduction for the cost of the item(s), when they originally bought the product(s).
That would be true, for instance, where a taxpayer has a business activity, and the rebates relate instead to an expense (i.e., tax deduction) for a good or service used in the conduct of that business.
In that instance, yes indeed -- a rebate on a purchased item or service does have a tax impact. However, if the item(s) are purely personal in nature, and with personal property specifically, the answer is no . . . for the reason that the underlying expense wasn't tax deductible in the first instance.
In other words, no deduction = no later need for a reversal (i.e., you don't need to report as taxable income) when a rebate is issued to you. It can safely be ignored, as the rebate is not considered taxable.
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