I work as a freelancer for several different companies ( MTurk, content writer, website testing, etc. ) and made just over $2,000 for the portion of work I completed while in California ( I moved from another state ). There is a section titled "Limitation on Business Income" and it's showing a total of $259,000. I understand that my freelance work is considered a business but I have no idea where this amount is coming from or how to get rid of it since I have no business losses.
I also am at a loss as to where exactly to input my income as a freelancer. Under the "Employees and Independent Contractors," section it says to input income earned as an "employee," which I am not considered. When I tried inputing my income into this field anyways, it bumped up the "Limitation on Business Income" amount to $263,140.
Any help would be much appreciated!
Freelance work is self employment and therefore should be reported on a Schedule C as business income. Since you stated that you have performed this type of work for numerous different companies in various states, provided the type of work performed is generally the same industry-type work, all income regardless of what State, can be reported on the same Schedule C in TurboTax.
Please follow the instructions here to enter your income onto your Schedule C:
How Do I Report Income From Self-Employment
Reporting Self-Employment Business Income and ... - TurboTax