I need to get a letter from a CPA, enrolled agent or someone who is a tax preparer verifying that I am a gig worker or self employed contractor.

[pk]

Nobody can certify that you are gig worker -- except you that is .  Your return includes a Schedule-C, that shows  your income  from self-employment ( gig or otherwise).  Just show  a filed and accepted return for the year.

Just out-of curiosity, why do you need a certification --- ( because generally lenders -- if you are buying a home or a car  or whatever --- ask for federal tax return  or W-2/ 1099-misc  etc. ) ?

[hilbeanie]

I am trying to refinance my house. My broker keeps trying to find loan packages, but because I have only had work as a contract worker (W-2) no one will lend to me without a letter on letterhead from a third party saying - "yep, she's effectively self employed." Since I have been doing my taxes on turbo tax, I don't have anyone specifically to ask for this.

[rjs]

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@hilbeanie wrote:

I have only had work as a contract worker (W-2)

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I don't understand. If you get a W-2 you are an employee, not a contract worker, gig worker, or self-employed contractor.

[hilbeanie]

Isn't that convenient for the companies that only allow you to work for them in the temp work force w-2. But, I am a freelance worker for all intents and purposes. If we have a millions of jobs in the area and a large percentage are temporary. W-2. I have been in the same field for fifteen years and about 95% of the work in my field is temporary - period. No fulltime jobs in my sector. BUT I get paid on w-2s, so I have have many to show for a one year period. This makes me a freelance worker. 

I completely understand your dry interpretation of well, W-2 = employee, but that is not how it actually ends up effectively being in my life. 

I have a schedule E (because I am a live-in landlord) and I file self employed and I have a business license with business expenses of getting new gigs. 

Companies will only engage w-2. I am not in the driver's seat here and can demand 1099.

It's a pickle. My broker said he has seen it done because of the compelling evidence that I am a contractor who is effectively self employed. 

Please message me if you are able to look at my case and write me a letter. Thanks!

[pk]

First -- W-2 issuance  and calling you an employee is according to the  IRS rules and therefore need to be followed by the employers.

Second - you , an employee  appear to be temporary  employee and therefore  receive multiple W-2 per year with many employers  throughout the year -- it is not unusual in today's market.  There is savings  for the employer in this -- not for the employee.

Third --  because you also have some side business,  you need to file Schedule-C.  However ,  if this is true "I have a business license with business expenses of getting new gigs" and means going to new short term employee positions  AND NOT actual business -- then these expenses are not allowed to be deducted.  These would be called commuting and therefore not deductible.  You cannot use Schedule-C and deduct  business expenses  unless  you actually have a business with a profit motive.

Fourth -- I cannot see your return and unless I am your return preparer I cannot  certify your source of income.    Sorry.

Fifth --- what are you trying achieve -- perhaps  we can suggest other ways to achieve the same and be within the tax laws.

Good Luck

[Carl]

Basically, if all you have is W-2's and none of those W-2's have the "statutory employee" box checked, then none of that income was earned through self-employment. It was earned by you as an employee of whatever business or businesses issued you those W-2's.

If you have 1099-MISC income with the income reported in box 7, then that is self-employment income and gets reported on SCH C as self-employment income as a part of your personal 1040 tax return.

If you have other income not reported to you on any type of tax reporting document, then that too is self-employment income included on SCH C as a part of your personal tax return.

Generally, all a lender requires as proof of income to substantiate your ability to pay back a loan, is a minimum of the last 2 years of tax returns showing your self-employment income. Some lender may require as much as 5 years back. But I can tell you right now that if your business doesn't show a "taxable" profit on SCH C for at least the prior two years, then lenders will not even consider that self-employment income in their decision to approve the loan.

If you are unable to provide the lender a SCH C with your filed, accepted and processed returns for the last two years, then from the lender's perspective you had no self-employment income.

[Liz16]

I am trying to get mortgage loan and broker has asked me for CPA letter stating that I am self-employed as well as asking for tax returns??

[VolvoGirl]

Sorry you can't get one from Turbo Tax.  Turbo Tax is a self prepared return.  You need to ask a local CPA.