Tax Year Prior to 2020: Did not freelance last year but will this year.

rli — Wed, 17 May 2023 17:24:09 GMT

I have been using TurboTax Self-Employed for several years because I do some freelance work. Last year I did no freelance work, but this year I may do freelance again. If I use Delux for 2019 and do not do any business write-offs but go back to Self Employed for 2020 will that be a problem? It sometimes asks if I ended my business... not really, I just did no freelance last year. If I buy Delux Edition, will it see my previous filing and lead me through the proper steps?

Re: Did not freelance last year but will this year.

WKins2 — Tue, 18 Feb 2020 16:54:49 GMT

You should really be filing a $0.00 Schedule C return if the business did not have any income or expenses to report for the tax year, but was still operational and not shut down. This helps the IRS and your state know that the business is operational, and has not closed and keeps records straight.

You can file using Deluxe if you prefer and then upgrade in 2020 when you file 2020 returns to self-employed and then file the Schedule C. The IRS and/or your state might send you a letter wondering why there is no business return on your 2019 return. If that is the case, you can either amend and file $0.00 return or write a letter of explanation to them as to why.

topic Tax Year Prior to 2020: Did not freelance last year but will this year. in Get your taxes done using TurboTax

Tax Year Prior to 2020: Did not freelance last year but will this year.

Re: Did not freelance last year but will this year.