1040 Question

[yarnalljr]

I did contract service work for a school district and worked for DoorDash, both require business information and I am unsure how to tell if either are qualified business or trade income sources. I am also unsure of what to do about business information as I was employed by a company or government entity for these jobs. Any help with how to proceed would be appreciated.

[BrittanyS]

Can you clarify how you were paid?  Did you receive a 1099 or a W-2 form?

[yarnalljr]

For both of these jobs I received 1099-NEC forms. For Doordash all payments were direct deposit and for the contract service work I received physical paychecks shortly after the work was completed.

[JamesG1]

You will create two self-employment activities that will be reported at the screen Your 2022 self-employed work summary.

Under each self-employment activity you will be able to answer the questions concerning Qualified Business Income.  Services performed as an employee is discussed here on page 2.

Follow these steps:

• Down the left side of the screen, click on Federal.
• Down the left side of the screen, click on Wages and Income.
• Scroll down to Self-Employment.  Click Show more.
• Click on Start / Edit/Add to the right of Self-employment income and expenses.
• At the screen Your self-employed work summary, click Edit to the right of the activity.
• At the screen Here's your info, scroll down to Qualified Business Income.  Click Edit / Details to the right.
• Follow the directions.

In addition, your self-employment income can be added directly to the self-employment activity by entering under Income.

@yarnalljr