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brockytaz
New Member

If I retired last year and my wife was self employed for only Jan and Feb, do we need to use the self employed version of Turbo Tax?

 
3 Replies
AnnetteB6
Expert Alumni

If I retired last year and my wife was self employed for only Jan and Feb, do we need to use the self employed version of Turbo Tax?

Yes, if your wife had self-employment income and expenses to claim for 2020 then you will need to use the TurboTax Online Self-Employed version or one of the CD/downloaded versions of TurboTax.

 

The self-employed version supports all of the forms necessary to report Schedule C income and deductions as well as the applicable Self-Employment tax if the business was profitable.  

 

Additionally, if your wife is no longer self-employed or actively pursuing her Schedule C business, you will need to indicate that the business ended in 2020.  If there were any assets being depreciated through the business, you will also need to indicate that those are no longer used for business purposes.

 

 

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brockytaz
New Member

If I retired last year and my wife was self employed for only Jan and Feb, do we need to use the self employed version of Turbo Tax?

We were not going to claim any expenses since they would not be all that much for two months.  We never claimed any depreciation either. She was paying the self employment due to the fact that she was working overseas (telecommuting to Australia).  She never had any forms other than bank statements.

 

Would we still have to use the self employment options.

 

 

JotikaT2
Expert Alumni

If I retired last year and my wife was self employed for only Jan and Feb, do we need to use the self employed version of Turbo Tax?

It depends.

 

If the business was operating in 2019 as a business, it would technically still need to be reported on Schedule C as a self-employed business on your 2020 tax return.  

 

You would also need to follow the steps provided by AnnetteB6 above to ensure the activity is reported as ending in 2020.

 

 

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