Where do I report speaking honoraria income?

Forum|Forum|6 years ago
June 1, 2019
3 replies
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My spouse received $200 and $500 for 2 separate speaking engagements. Can they be considered gifts and not reported/taxed? He did not receive a 1099 or any such tax form, just a check.

TurboTax Self Employed Online

Best answer by LeeM

Since honorariums are generally not considered self-employment, you would enter that as miscellaneous income by following the directions below:

Select Federal Taxes, Wages and Income and then scroll to the bottom
Select Miscellaneous Income under the Less Common Income category then
Select Reportable Income, then
Select "Yes" and, in the next screen, describe the income.

LeeMAnswer

Employee

Since honorariums are generally not considered self-employment, you would enter that as miscellaneous income by following the directions below:

Select Federal Taxes, Wages and Income and then scroll to the bottom
Select Miscellaneous Income under the Less Common Income category then
Select Reportable Income, then
Select "Yes" and, in the next screen, describe the income.

tax9

What is your support for the assertion that honoraniums (actually, honoraria is the correct plural) generally are not considered self-employment income. I suggest that they frequently constitute self-employment income and should be reported as such on Form 1040, Sch. C. For example, someone who frequently receives speaking honoraria will be considered to be in a trade or business.

DaveF1006

After careful research, IRS Revenue Ruling 55-431 states if an individual accepts an occasional invitation to make a speech for, which he or she receives an honorarium, he or she is NOT engaged in a trade or business for self-employment tax. In your particular instance, two speaking engagements are occasional and are considered other income.

Here is a link to the journal of Accountancy, which is a trusted source for tax research information. Note the reference it makes to Revenue Ruling 58-112 that characterizes a trade or business activity as one that is regular, frequent and continuous. It also states in the link that Revenue Ruling 55-431 states “as a general rule, an individual who accepts an occasional invitation to make a speech is not engaged in a trade or business.” After this quote, it explains what other income is.

This link briefly references Revenue Ruling 55-431. Please select this hyperlink for more supporting detail.

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Suomalainen

Hi Dave.

Awesome Answer..

jeffl22

This is very helpful. One follow up question: what if the speaking engagement took place at a conference in a state other than that in which I live and work? Do I need to file a tax return in that state as well?

Hal_Al

Employee

Q. What if the speaking engagement took place at a conference in a state other than that in which I live and work? Do I need to file a tax return in that state as well?

A. Yes, but "nobody" does. See http://money.cnn.com/2013/06/28/pf/taxes/business-traveler-tax-threat/ If you live in a state without an income tax (e.g. FL or TX), it’s more likely you should file in the work states. You can't use the "it all comes out even" rationale for not filing.

The income may be low enough that you may not be required to file. State filing requirements

https://ttlc.intuit.com/questions/2903200-do-i-need-to-file-a-state-return