I tutor with Wyzant. They charge me 30% of every hour tutored in fees to use their service to work with students. Can I write off this fee as a business expense?

I tutor with Wyzant.  They don't send out W2's because we're considered independent contractors; we get a 1099 instead.  However, they take a significant portion of what tutors earn in fees (30% of every hour tutored).  Can I write these fees off as a business expense since I'm using their website as a service to find and work with students?

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Yes, if the 1099 includes the fees they keep before payment, you can deduct as a business expense on your Schedule C.

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mchla156
New Member

Get your taxes done using TurboTax

The 1099 does not show the fees they keep before payment. It only shows your earnings.

LenaH
Employee Tax Expert

Get your taxes done using TurboTax

If your 1099 shows a net number (the fees were already deducted and your 1099 shows the amount you actually pocketed), then the fees are not deductible on your Schedule C.

 

If your 1099 shows a gross number (the amount made before Wyzant deducts their fees), then you can deduct the fees as a business expense on your Schedule C. Their total fees and other applicable information should be on their website. 

 

@mchla156

 

 

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