Question

Selling hobby crafts

Forum|Forum|3 years ago
August 31, 2022
1 reply
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I make hobby crafts and I want to start selling them. What is the process with taxes if I sell my items

1) In person - I scan the buyer's credit card with Square

2) I create an Etsy shop to sell my items

Thanks

Hi @sev4titi! If you start selling your hobby crafts, regardless of how you sell them (whether in person or online or both), make sure you keep your own separate records of the income you earn selling the crafts. If you sell in person and use Square to process credit cards, you'll receive a 1099-K if your sales total $600 or more for the year. The same is true of Etsy, sales of $600 or more will be reported to you on a 1099-K. You can use these 1099-Ks to help you report your hobby income when you file your tax return. Regardless of what's reported to you by Square or Etsy, be sure to report all the income you receive in the hobby section of TurboTax.

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