All Things Tax

All Things Tax

Like the title says, from the filing process and tax questions to tax policy and reform, you can search and share All Things Tax here. This is the place to find answers to all your general questions that don't fall under the other categories. And just a reminder: questions about software or online filing should be posted in DIY Products.

Reply
Highlighted
Pioneer
Posts: 1
Registered: ‎04-19-2017

How do I file if I work online doing events but own a business?

 I do online gaming tournaments. Last year I got a tax id for a business so that our website could use paypal donate. The payments that I do receive after doing an event are anonymous or from various people, and are always Cash (they send green dot moneypaks, which are basically cash cards). The payment are for doing events for the business that I have a tax id for. I am not quite sure how to file my taxes. Do I add those payments as cash payments to my business? Do I send myself a 1099 for the work I did? Basically as a contractor? Thanks!

Tax Pro
Posts: 5,615
Registered: ‎02-23-2016

Re: How do I file if I work online doing events but own a business?

Hi Ree8080,

 

Welcome to the H&R Block community.

 

When you have a business that's not a special type of business such as a partnership or an S-Corporation you file a Schedule C to report your income and expenses.  The cash payments you mentioned are income to the business (you receive them for running the tournaments or for something related to them) and they will be entered on the revenue line on your Schedule C.  Your expenses subtract from your business income and you are only taxed on your net income from the business.

 

If you have any other questions I'll be glad to help.

 

Louis,

Senior Tax Advisor (Tampa, FL)