Marcos has a full-time job. He also delivers food for restaurants on the weekends as a side gig where he is considered self-employed. Does he have to pay taxes on the money he receives from his side gig?

Responses

No, he is already paying taxes at his full-time job.

Yes, he has to pay taxes based on all his earnings and tips.

No, since it is a side gig there is no way to document income.

Yes, the company that he has the gig with will take out the taxes.

1 answer

Yes, he has to pay taxes based on all his earnings and tips. As a self-employed individual, Marcos is responsible for reporting all income from his side gig and paying the appropriate taxes, regardless of his full-time job. This includes income earned from delivering food, and he may need to pay self-employment taxes as well.