If I decided to do my work for free this year, how do I report that?

[suburban1999-aol]

I have a side photography biz and did all my work for free this year, how do I report that?

[Bsch4477 · Accepted solution]

If you are working for free you don’t have a business so there is nothing to report. 

[Vanessa A]

If you do your work for free there is nothing to report.  This would be considered a hobby with no income.  Hobby expenses are not deductible.

[suburban1999-aol]

Thank you for responding.  I have a business license but wanted to donate my service to wrestling team this year and not charge them like I have in past.  How would you suggest entering on tax forms?

Thank you,

Nicole

[ThomasM125]

Your services won't need reporting on a tax return if you are not paid for them. So, you cannot enter anything associated with them on your tax return, not even the business license fee.

[fanfare]

Enter the fees you did not charge as allowances (line 2)

"A sales allowance is a reduction in the
selling price of products, instead of a
cash or credit refund."

Expect to be audited if you report a 100% allowance on all your Gross Income.