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What counts as deductible travel expenses?
Contributed by: KelliP, FreeTaxUSA Agent, Tax Pro Knowing what travel expenses are deductible can be confusing such as meals, transportation, and lodging. As a self-employed individual, generally most, if not all, travel expenses can be deducted. Business travel expenses are reported on Schedule C. There are certain…
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What do I need to report from my 1099-K?
Contributed by: Daniel_L, FreeTaxUSA Agent Form 1099-K Form 1099-K reports electronic payments you received for goods or services through credit cards, debit cards, or any other third-party payment network like Venmo or PayPal. Your 1099-K filer or issuer records these transactions. When the threshold is met by dollar…
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How do I report a car rental as a business expense?
Contributed by: MatthewD, FreeTaxUSA Agent, Tax Pro The gig economy is a flexible labor market where individuals engage in temporary, project-based work. The gig economy has experienced huge growth over the last decade. Companies like Uber, Lyft, Uber Eats, DoorDash, and Amazon Flex, are just a few examples of this trend.…
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How do I report foreign rental property?
Contributed by: PhillipB, FreeTaxUSA Agent, Tax Pro Reporting income from a rental property can be complicated. If your rental property is in a foreign country, there are a few additional steps and considerations. From foreign income and real estate taxes to depreciation methods and converting the currency from the foreign…
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Using one vehicle for multiple businesses (2024 and later)
Contributed by: WrenD, FreeTaxUSA Agent, Tax Pro This article applies to 2024 and later. Nowadays, many individuals earn some extra cash through various side hustles. Activities such as dog walking, ridesharing, delivering food, or renting space are common. Individuals using the same personal vehicle for multiple…
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Does my rental income qualify for the qualified business income (QBI) deduction?
Contributed by: PhillipB, FreeTaxUSA Agent, Tax Pro Tax breaks are wonderful, but they often have strings and rules attached that need to be followed before you can take the deduction. The Tax Cut and Jobs Act of 2017 created the qualified business income deduction. This new tax break provided a deduction on 20% of…
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I’m a contract worker, not self-employed. What do I do?
Contributed by: ChristopherT, FreeTaxUSA Agent, Tax Pro This year you started a job as a self-employed contract worker and received a 1099-NEC or 1099-MISC. While doing your taxes, you see that you need to complete Schedule C, Profit or Loss from Business, which concerns you because you don’t own a business. The IRS…
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Is my spouse considered an employee or a co-owner, and what are the tax implications?
Contributed by: TriciaD, FreeTaxUSA Agent If you run a self-employed business, family members might work for you, this could include your spouse. Your spouse might even co-own the business with you. If you jointly own and operate a business with your spouse, the business is considered a partnership unless both spouses…
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What are rental days vs. personal use days?
Contributed by: TriciaD, FreeTaxUSA Agent Managing taxes for rental properties that you also personally use can be tricky. As a vacation home or rental property owner, different from your main residence, it’s important to know how rental days versus personal use days affect your tax return. This understanding impacts…
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How do I deduct the home office expense if I have more than one business in the same home office?
Contributed by: PhillipB, FreeTaxUSA Agent, Tax Pro With the prevalence of side hustles in the gig economy, there’s a strong chance you may need to file multiple schedule Cs for different businesses. There’s also a good chance you may have one home office for all those businesses. If this is your situation, how do you…