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shoco21
New Member

Self Employed Section -Turbo Tax Deluxe- asking if actively participating? Gate attendant $275 and not really running a business but just side job- do I answer Y or N?

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3 Replies
PatriciaV
Expert Alumni

Self Employed Section -Turbo Tax Deluxe- asking if actively participating? Gate attendant $275 and not really running a business but just side job- do I answer Y or N?

Yes, you actively participate in your side-business as a gate attendant.

 

See the following material participation tests from IRS Publication 925, summarized as:


Participation.   In general, any work you do in connection with an activity in which you own an interest is treated as participation in the activity.

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Self Employed Section -Turbo Tax Deluxe- asking if actively participating? Gate attendant $275 and not really running a business but just side job- do I answer Y or N?

Thank you for your reply....just want to confirm based on the following found in the Turbo Tax info tab:

This means that you were actively working in the business on a consistent, year-round basis. (An investor normally does not qualify.)

 Work more than 500 hours in the year, or between 100 and 500 hours in certain cases, OR
- Perform all the work, even if you work fewer than 100 hours, OR
- Worked actively for five of the last ten years (they do not have to be consecutive) or three years if it was a personal service, such as consulting

 

  1. I worked under 100-500 hours
  2. I did not perform all the work as the athletic department manages the event. What does ALL mean?
  3. Did not work the 3- 5 years stipulation nor on a yearly routine basis.

Do I still mark YES actively participating based on above?

Thanks in advance.

DianeW777
Expert Alumni

Self Employed Section -Turbo Tax Deluxe- asking if actively participating? Gate attendant $275 and not really running a business but just side job- do I answer Y or N?

Yes, you definitely mark that you actively participate. The activity is conducted to make a profit and you are being subcontracted to provide a service for another company. The key is that you are being paid to perform a service as an independent contractor.

 

This is not your money making money for you, this is you physically performing a service for money. You are considered self employed in this type of work. 

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