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Level 1
posted Apr 4, 2024 7:31:24 PM

Question if my daughter needs to file a return she earned 1800 on a w2 and 5700 on 1099-Miss form.. What is the limit on income where you need to file a return.

what is the limit on income before you have to file a return.

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5 Replies
Expert Alumni
Apr 4, 2024 7:37:31 PM

She has to file a Form 1040.   The 1099-MISC earnings of $400 or more require her to file.   How does being self-employed affect my taxes? 

 

Filing thresholds

Level 1
Apr 4, 2024 7:40:43 PM

I meant to say 1099-NEC for $5,700.  Does she still have to file a 1040?

Expert Alumni
Apr 4, 2024 7:55:52 PM

Yes, your daughter needs to file a tax return since she has more than $400 of self-employment income.  The self-employment income that she receive can be reported on a 1099-MISC or 1099-NEC.  

 

 The good thing is that she'll be able to deduct reasonable and customary business expenses from that income.

 

To report self-employment income, follow the steps below:

  1. Open TurboTax.
  2. Enter self employed income in the search bar 
  3. Select the Jump to link at the top of the search results.
  4. Answer Yes on the Did you have any self-employment income or expenses? screen.
  5. Answer the questions on the following screens until you arrive at Let's enter the income for your work.
  6. Select 1099-NEC and select Continue.
  7. You can enter the info from your 1099 form on the following screens.

For additional information, refer to the TurboTax Help articles How to File Taxes with IRS Form 1099-NECReporting Self-Employment Business Income and Deductions, and How do I report income from self-employment?

Level 1
Apr 4, 2024 8:16:40 PM

Where do I enter related expenses on the 1040 form for the income reported on form 1099_NEC,  this was for Door Dash and I paid for my own gas. 

Expert Alumni
Apr 4, 2024 8:43:03 PM

Use the instructions in this link.    

 

What expenses can drivers take?