What is Taxable Income?

What is Taxable Income?

What income is considered taxable income?

Most income is considered taxable unless it is specifically exempted by law. Income may be money, property, goods and/or services. Even if you do not receive a form reporting income, it should be included in your tax return.

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Examples of Taxable Income:

Wages & Benefits

Independent Contractor

Freelance/Creations

 (not hobbies)

Form W-2

Any from 1099 Income

 

 

Lyft, Uber, Door Dash, Grub Hub, Amazon Flex, Gigs or side jobs through apps.

May or may not receive a form

 

Goods/Services you sell online, in person, or in a retail location.

 

Rent on Personal Property

Bartering Goods or Services

Royalties

Equipment and/or vehicles.

The exchange of property or services with another person.

Usually from copyrights, patents, oil, gas and mineral properties.

Businesses

Investments

Benefits paid to you

Partnerships or other business entities.

Capital Gains

Stock Options

(splits or trades)

Interest

Dividends

Digital Assets or Cryptocurrency.

Retirement Plan Distributions Pensions or Annuities

Unemployment Benefits

Social Security Income

SOME Life Insurance Proceeds

SOME Survivor Benefits.

Other Types of Income

 

Tax Refunds Reimbursements & Rebates

Canceled Debts

Alimony Payments Court Awards & Damages

SOME Scholarships

Gambling Winnings

Prizes & Awards

Illegal Activities.

 

References

Internal Revenue Service. Taxable Income. 25 June 2024. 23 October 2024.     


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