1099 NEC

Forum|Forum|3 years ago
February 4, 2023
2 replies
9 views

Two companies asked me to write reviews for products that they sell. In exchange for these reviews, they allow me to keep the product such as clothes, household goods etc. I file a joint return and my wife, and I are both retired. I do not receive any money for this, just the goods they send to me.

From the drop-down list in TurboTax, I have selected "This is not money earned as an employee or self-employed individual, it is from a sporadic activity or hobby (this is not common).

Is this selection (This is not money earned as an employee or self-employed individual, it is from a sporadic activity or hobby (this is not common) allowable as I DO NOT receive money as an employee, and it is sporadic? I have read previous posts, on this subject but still remain unclear. Thanks

Bsch4477

Level 15

Your approach is reasonable.

PattiF

Level 15

As DianeW explains, this would be considered a hobby, and the selection of a hobby is appropriate and allowable.

"Yes. If this is not a business, you are not engaged in the activity for a profit-seeking venture and you consider it a hobby then you can treat it and list it as a hobby. As a hobby, any expenses involved with it would be used on itemized deductions if you can use that. These expenses would be subject to a 2% reduction of the adjusted gross income (AGI) and only the excess would be added to your other itemized deductions."

@WESTERNSKY

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