Business or hobby? If not, do I amend?

[fkane]

Last year, I received a 1099-misc in the amount of $800 for some freelance writing (which I do for fun). This was a little less than 1% of my overall income. I didn’t expect to do more of this this year (2020) so on turbo tax, I checked the box that stated, “I don’t expect to do this in 2020.” Well, it turns out, I’m now doing it in 2020 and it is about the same amount. Do I now have to file a schedule C? If so, so I have to amend my 2019 tax return and include a schedule c?

[Bsch4477 · Accepted solution]

Hobby or business is an issue that comes up frequently and the IRS decides based on the totality of each situation.  My opinion—and it is only an opinion— is that you can consider your occasional freelance income a hobby.  See if this site helps you to decide. 

https://www.irs.gov/spanish/hobby-or-business-irs-offers-tips-to-decide

[tagteam]

I agree with @Bsch4477's assessment. 

I will reiterate that only you, @fkane, can make this decision based upon the facts since you will be the one who will have to justify how the income is treated on your return if you are ever questioned about it (which is probably unlikely).

[Anonymous]

what is the nature of how you do to earn most of your income? if the freelance income is of the same nature it's probably business income reported on schedule C.     

[fkane]

I appreciate your opinion. Thank you.

[fkane]

Thank you.