Do you have to pay taxes on side hustles?

If you receive income from a side job or gig, you will need to report this income on your 1040 tax return. The income will be included in your total income for the year and will be taxed accordingly. If you have any expenses related to your side income, you may be able to deduct these on your tax return as well.

In most countries, you have to pay tax on side hustles. If you make more than $600 yearly, The IRS expects you to report it on your Tax Return. If you made that money in the cast and don’t deposit it to the bank ( I am not saying you should do this ) then there is no way for IRS to know how much money you made.

Paying Taxes On Side Hustle

However, if you report a side hustle, you can also deduct costs to run the business and maybe even show a loss if you want to prevent paying tax.