Level 11
12-07-2019
10:58 AM
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
They bartered goods in exchange for their personal services to the tune of more than $600; sounds like it gets reported on a 1099-MISC to me. When I take a bite of food from the Costco sample-giver, there's no requirement that I provide a review in return, and that's the distinguishing factor.
Whether the activity rises to the level of a trade or business is a matter of professional judgement; the 1099-MISC doesn't control the recipient's tax reporting. That said, value in excess of $600 sounds regular and continuous enough that I'd want a better argument for it not being trade or business income than "it was a handful of disposable health care products."