Foodom Independent Contractor Tax Information

OVERVIEW

FOODOM is an online and mobile consumer marketplace that matches users with “Chefs,” the providers of personal services, such as food and meal preparation in the client’s home. It is a good way to earn income while helping others with their dietary and meal preparation needs. However, as an independent contractor, you need to understand the tax implications of being an independent contractor. and what to be prepared for come tax time. * It is VERY important for you to understand if you are new to being an independent contractor, that no taxes are withheld from any monies earned as a contractor, and you are responsible for the accurate accounting, estimation, and payment of any taxes owed. 

* The following information is only provided as support to your research. It is highly recommended that you consult with a tax professional to advise you on the best course of action for your particular situation. 

FOODOM is a company that provides an online marketplace using online technology that
connects contractors, including cooks and nutritional specialists, and customers (FOODOM platform” or “platform”). FOODOM’s software permits registered users to place orders for in-
home cooking services, grocery shopping, meal planning, and other related services based on their set of preferences. Once such orders are made, FOODOM software notifies contractors
that a Meal opportunity is available and the FOODOM software facilitates completion of the service, if the CONTRACTOR chooses to accept the Meal opportunity. FOODOM is not a food
business, restaurant, food delivery service, or food preparation business.

Usually, Independent contractors will save and report all business-related expenses that you may acquire operating your business as a private chef to report as deductions.  Some expenses that you should consider saving all receipts are, but are not limited to;

  • All groceries purchased for client meals
  • All technologies utilized to conduct your online business, Phones Computers, etc.
  • Fuel and Mileage receipts
  • Insurance expense
  • Chef Clothing and kitchen equipment used for working as a chef contractor.

REV FEBRUARY 2023

Due to a timeline setback from the IRS requiring payment services like PAYPAL and VENMO to issue 1099K  to earnings over $600 to next year (TY 2023),  Paypal will not be issuing 1099K for income under $20k or 200 transactions. 

It is important to note that Foodom does not issue 1099k information as we are not an employer. We use PAYPAL as the payment intermediary between you and the client and only support this by billing the clients for you a private contractor and business owner. 

 You can access all of the information for preparing your taxes by going into the “MY EARNINGS” section of your profile.  You can filter in the upper left corner, currently by month. You can then scroll thru the transactions and use these for your tax preparation. the items you will see are:

APP – EXTRA -TIP these are all income earned from your appointments.

GROCERY – this is an expense to be used for your deductions

 

 

Here are some additional links to support you in successfully managing your Independant contractor tax  liabilities.

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