How do I log my wife's Shipt income if I don't have a 1099 form?

[mcrossman42410]

She made less than $300

[DianeW777]

It depends on whether this is considered a hobby or a business. The business income allows you to deduct ordinary and necessary expenses needed to earn this income, while hobby does not allow expenses to offset the income at all. If you're not sure if this will continue in 2024, you can enter it as other income for 2023.

This IRS link will help you: Business or Hobby?

Key elements:

1. A hobby requires you to report the income you received and under the current tax law, Tax Cuts and Jobs Act (TCJA), no expenses are allowed to be used to reduce the money collected even if you itemize deductions.
2. A business allows you to deduct the costs necessary to obtain the income.  The law explains that 'you must be engaged in the activity to produce a profit'.  The test under IRS tax law is that you must show a profit three out of every five consecutive years to be considered a business.

Once you decide what type of income this is you can use the links below to see how to report.

• How do I report income from self-employment?

To enter hobby income in TurboTax please follow these steps:

1. Once in your tax return, Choose Wages and Income
2. Scroll down to Less Common Income and click Start to to right of Miscellaneous Income, 1099-A, 1099-C
3. Click Start to right of Hobby income and expenses

Please follow the instructions below to report Other Income:

1. Click Wages and Income and scroll down to Less Common Income
2. Go to the last selection, Miscellaneous Income and click Start
3. Go to the last option, Other reportable income and click Start
4. When it asks, "Any other reportable income?" > yes and then type in a description and the amount to report it on your tax return.
5. TurboTax Online and TurboTax CD/Download will use the same procedure.