If I am self-employed, is there a difference between Business Income (Box 13499) and Professional Income (Box 13699) when it comes to filing my taxes?

[srbridge]

My accountant had me as Business Income (13499) for 2020 taxes and Turbo Tax has me as having Professional Income (Box 13699) for 2021. I have not changed jobs in that time.

[TurboTaxBrenda1]

Yes, there is a difference between business income and Professional income. Business income is income from any activity you do for a profit and includes sales, commissions, or fees. For example, income earned as an electrician or plumber is considered business income. 

Professional income is the same except that your income is from a profession that has a governing body. For example, professions like lawyers, professional engineers, doctors, and other health professionals to name a few. 

In TurboTax you must enter your income under either  Business or Professional income.

Thank you for choosing TurboTax.

[srbridge]

Thank you for your reply, Brenda.

I guess I am right in between the two as TT listed me as having professional income and last year my accountant listed me as having business income.

Is there a tiebreaker between the two? I charge fees for a professional service, like a lawyer, and do not have sales of inventory. I sell my service and time in the financial service industry.

[BrendaW-US]

The question you would need to ask then, is there a governing body for the work you do Government references works-in-progress, and that brings us to the major difference between business and professional income.