Ziggy587 wrote:Ack wrote:Keep in mind though, folks, that if the IRS considers you a business as an individual for paying on a 1099, that you can also claim business expenses to lower your tax debt. For example, you sold your items on the internet? Well now, your internet bill is technically a business expense because you use it for conducting business. The mileage accrued driving to the post office, any equipment purchases you make for cleaning/testing games, any money spent conducting research on value, etc., is now a business expense.
That's all well and good, but it would make preparing your taxes that much harder for such a small amount of money.
Most people take the standard deduction these days anyway. And if you ARE already itemizing your deductions, adding a few business expenses is really not a big deal.
I will repeat as well that adding 1099 income to your normal W-2-based tax filing really isn't much of a headache, paperwork-wise.