SharonD007
Expert Alumni

Deductions & credits

In addition to mileage, if you purchase supplies like insulated bags or coolers to keep items cold or hot those are fully deductible expenses. Yu can allocate your cell phone expenses based on the percentage of use for your Instacart business. 

 

You may be able to claim the home office deduction (which is where you would be able to deduct a portion of your housing related expenses - rent and utilities). You must meet both of the following conditions to claim your office as a self-employed business expense:

TurboTax will ask questions to determine if you are able to claim the deduction and how much you can take.  You will need to know the square footage of your home and the square footage of your office.

 

Please review the TurboTax article Where do I enter the home office deduction for my business? for instructions on adding your home office.

 

The income that you make from Door Dash is reported on Schedule C of your 1040. The IRS considers self-employment income as a business, so you will also be able to deduct common business expenses from your income. To enter your business and self-employment income, follow the steps below:

 

  1. Open TurboTax
  2. Select Wages & Income
  3. Select Self-Employment Income and Expenses
  4. TurboTax will guide you through the interview screens to help you enter your income and expenses.

In addition to the resources that the previous responders gave, refer to the TurboTax articles Filing Taxes for On-Demand Food Delivery Drivers,  What self-employed expenses can I deduct?  and Filing Tax Returns for Delivery Drivers: Tips and Advice for more information.

 

 

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