I am an Amway IBO. I did not make any money since only sell to friends with same price. I did get some BV money from Amway. Does BV money need to be reported as income?

I am an Amway IBO. I received 1099-misc which only box 7 checked: payer made direct sales of $5000 or more of consumer products to a buyer for resale. But I did not make any money from this, only sell to friends with same price. I did get some BV money from Amway.
Does BV money need to be reported as income?

312

Expert Alumni

Apr 19, 2021 5:42:53 AM

Yes.

This is for non-employee compensation.  You will enter this as self employment income.  You will need to file a Schedule C and pay SE taxes.  You may also enter any expenses related to your work to reduce your income.

To file a Schedule C, here are the steps:

Sign in to your account and select Pick up where you left off
At the right upper corner, in the search box, type in schedule C and Enter 
Select Jump to schedule C 
Follow prompts, you might be prompted to an upgrade if you have expenses

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I am an Amway IBO. I did not make any money since only sell to friends with same price. I did get some BV money from Amway. Does BV money need to be reported as income?