Where/how do you enter income from a hobby?

Forum|Forum|3 years ago
February 4, 2023
1 reply
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I made ~300 on etsy from 5 transactions, selling knitted items as a hobby. Where does that get entered into Turbo Tax? Since this is a hobby and not more the 20K or 200 transactions this does not qualify for a 1099-K form.

TurboTax Premier Online

Best answer by AliciaP1

To enter your hobby income and expenses in TurboTax Online you can follow these steps:

Sign in to TurboTax and open your return
Select Search and enter 1099-k
Select Jump to 1099-k
Select Yes on the Did you get a 1099-K? screen
Select Hobby income and Continue
On the next screen, enter the details from your 1099-K regarding who paid you, their federal ID number, and the amount in Boxes 1 and 4. If your form has information in boxes 6-8, select the box and enter those details, and Continue
If you have a 1099-K from another hobby, select Add another 1099-K, otherwise, select Done
Scroll down the Wages and Income page and select Less Common Income
Select Start next to Miscellaneous Income, 1099-A, 1099-C
Scroll down to Other reportable income and select Start
Choose Yes on the Any Other Taxable Income? screen
In the Description field, enter Form 1099-K Costs of Goods Sold
In the Amount field, enter your Costs of Goods Sold as a negative number, select Continue and then Done

AliciaP1Answer

Level 13

To enter your hobby income and expenses in TurboTax Online you can follow these steps:

Sign in to TurboTax and open your return
Select Search and enter 1099-k
Select Jump to 1099-k
Select Yes on the Did you get a 1099-K? screen
Select Hobby income and Continue
On the next screen, enter the details from your 1099-K regarding who paid you, their federal ID number, and the amount in Boxes 1 and 4. If your form has information in boxes 6-8, select the box and enter those details, and Continue
If you have a 1099-K from another hobby, select Add another 1099-K, otherwise, select Done
Scroll down the Wages and Income page and select Less Common Income
Select Start next to Miscellaneous Income, 1099-A, 1099-C
Scroll down to Other reportable income and select Start
Choose Yes on the Any Other Taxable Income? screen
In the Description field, enter Form 1099-K Costs of Goods Sold
In the Amount field, enter your Costs of Goods Sold as a negative number, select Continue and then Done