Do I answer No, for no profit/loss in 2019, when I did in 2018?

[DoctorWho]

I have a small side gig going. In 2018 I had some income and filed it, using TurboTax for 2018. I'm guessing it used Schedule C (I don't know as that was the first year I actually had income).

In 2019 I did more work for my client. However, he didn't pay me. (Not for the lack of my not asking him. I asked him multiple times in 2019 to pay me for the work I did!!) But the bottom line is I didn't get any money from him in 2019. I really don't think this is a loss as I hope he'll pay me this year for the work I did in 2019.

Anyway, I'm at the early stage of the TurboTax interview process where it's asking about my income. There's the first part which lists my Wages and Salaries, the W-2 from my day job. No problem, I can enter that fine. But it's the second one, labeled Business. This is about profit and loss related to my side business. Since there was neither, do I simply answer No? If I answer No here, then does that mean that TurboTax will consider I no longer have a side business? Should I answer Yes here and then later put $0.00 for profit and loss? I need to know to know how I should proceed and what the implications are of my answering Yes or No, at this point, please.

[lovelyx0x0 · Accepted solution]

Hello Tax preparer,

To answer your question,  NO Incomeclie

Since your client didnt pay you in 2019, there is no income.  The schedule C in turbo will handle this accordantly.  Since this is not a corporation or partnership, you are not required to file schedule C every year but only when you have income to report.  When the money finally is paid to you (in 2020), you will report it then.

Hope this helped