turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
Announcements
Close icon
Do you have a TurboTax Online account?

We'll help you get started or pick up where you left off.

Sales and use permit

I have a hobby trying to turn into a business . It’s Jewelry making . Started last year.  I’ve sold a few pair here and there to friends on my Facebook.  A few at a boutique in my home state.   I’m working on a website .  I found out I need a sales permit in the state on TX.   I got that a couple months ago … but since I technically  didn’t have that last year, do I even  need to still claim my earnings and do taxes???   Or do I wait to claim this years income on next years taxes since I’m more official now with the ID ?  I’m so confused and not sure what to do. 

x
Do you have an Intuit account?

Do you have an Intuit account?

You'll need to sign in or create an account to connect with an expert.

1 Best answer

Accepted Solutions
MarilynG1
Expert Alumni

Sales and use permit

You can report your Hobby Income, however, since 2018 you can't claim any expenses.  

 

Since this won't affect your 2024 tax return, it's up to you if you want to report the hobby income.  Don't report any 2024 income on your 2025 return, if you are still considering this as hobby income.  Start fresh with keeping good records for 2025. 

 

Here's some info for you for next year on Turning a Hobby Into a Business and Tax Tips for Small Businesses.

 

Don't forget to claim the cost of your permit as a Business Expense!

 

 

 

@Jollynick 

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

View solution in original post

1 Reply
MarilynG1
Expert Alumni

Sales and use permit

You can report your Hobby Income, however, since 2018 you can't claim any expenses.  

 

Since this won't affect your 2024 tax return, it's up to you if you want to report the hobby income.  Don't report any 2024 income on your 2025 return, if you are still considering this as hobby income.  Start fresh with keeping good records for 2025. 

 

Here's some info for you for next year on Turning a Hobby Into a Business and Tax Tips for Small Businesses.

 

Don't forget to claim the cost of your permit as a Business Expense!

 

 

 

@Jollynick 

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
message box icon

Get more help

Ask questions and learn more about your taxes and finances.

Post your Question