Everything You Need to Know about Doordash 1099 Information
If you’re a Doordash driver, you’re probably familiar with the 1099 form sent to you at the end of each year. The Doordash 1099 form is an important document that summarizes your earnings for the year, which you’ll use to file your taxes. In this article, we’ll take a closer look at the Doordash 1099 form to help you understand what it is, how to read it, and what to do with it.
What is the Doordash 1099 Form?
The Doordash 1099 form is a tax form that shows how much money you earned as a Doordash driver throughout the year. The form is sent to you by Doordash in early February and is used to report your income to the IRS.
How to Read the Doordash 1099 Form?
There are several sections of the Doordash 1099 form that you’ll need to be familiar with when preparing your tax return. These include:
1. Box 1: This is the gross amount you earned from Doordash throughout the year.
2. Box 2: This is any federal income tax that was withheld from your earnings.
3. Box 4: This is the amount of Social Security tax that was withheld from your earnings.
4. Box 5: This is the amount of Medicare tax that was withheld from your earnings.
It’s important to note that Doordash does not withhold federal income tax, Social Security tax, or Medicare tax from your earnings by default. Instead, it’s up to you to make estimated tax payments throughout the year or pay the full amount when you file your tax return.
What to Do with Your Doordash 1099 Form?
Once you receive your Doordash 1099 form, you’ll need to include it when filing your tax return. You’ll use the information on the form to report your income and calculate your tax liability. You may also be required to file state and local tax returns, which may require additional forms or documentation.
Wrap-Up
Understanding your Doordash 1099 form is essential for accurately reporting your earnings and avoiding potential tax penalties. Make sure you keep track of your earnings throughout the year and set aside enough money to cover your tax liability. With a little bit of preparation and knowledge, you can make tax season a breeze as a Doordash driver.
