Lyft 1099 Forms: Starting in the first week of February Lyft drivers will start getting their 1099 forms for their previous year earnings in the mail and that can only mean one thing…
It’s tax time!
As mentioned above, if you drive for Lyft you’ll be getting your 1099 from them soon, but which one will you get?
Some Lyft drivers will be getting the 1099-MISC if they generated under $20,000 in earnings for the previous year. And those drivers that generated over $20,000 in income + at least 200 trips will be getting the 1099-K.
Not too complicated. However, let’s dive in a little deeper to understand how Lyft drivers are classified for tax purposes and what those different 1099 forms really mean.
As always, this post is not to be considered tax advice. For specific advice regarding your tax return you should speak directly with a tax professional.
What Is A Per Diem?
Per Diem, Latin for “per day” or “for each day” is a common business term for the amount of money that is given to an employee, student or other individual for their daily needs.
You might ask yourself why an employer would opt to hand out a per diem rate instead of requiring an expense report. It seems that the more detailed expense report would cover all of the necessary costs accurately.
There are actually 2 good reasons.
- Cost savings
- Less work (for both sides)