Blog

With information technology, the IRS is able to spot side hustles a lot easier. Now you’ve got PayPal, Zelle, Venmo. You know, banks are required to report deposits of certain amounts or frequently that same amount, right? If it’s under the $8,000, you know, are we doing $8,000 every month? Is this a continuous?

So there’s information systems that the IRS is looking at now to see. Are they operating a business that they’re just not reporting on their tax return? Operating a business is operating a business, whether you call it a side hustle or a venture, it doesn’t matter. Operating a business is operating a business and it needs to be reported.