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New Member
posted Oct 30, 2019 11:08:02 PM

How can I put subcontract costs in the business expenses on the online turbotax?

I can put this under wages and salary but this is a different line item on the actual T2125 form? Does it actually make a difference?

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10 Replies
Level 11
Oct 30, 2019 11:08:04 PM

Subcontractor fees are included in the Inventory screens in Self-employment section of your return. You can reopen the business section and add the amounts. Choose "Business Summary" from the Self-Employment menu on the left side of your screen and click the option to Edit. On the screen that appears, select Income and Inventory.

New Member
Oct 30, 2019 11:08:05 PM

I don't have those options. When I follow your steps I see this instead: https://imgur.com/ShqEOH1

Level 11
Oct 30, 2019 11:08:07 PM

I see the difference. You've selected Professional as the business type in the beginning of the Business section. Subcontractor fees don't appear on the T2125 for Professionals (T2125P). CRA only includes them on the T2125B (which comes up when you select I'm a Rideshare driver, freelancer, consultant, contractor or Other type of independent worker from the list in the opening of the Business section).
At this point, your best option is to include that expense in the "Other Expenses" spot - it's on the same screen as Office Supplies. Salaries & Wages is designed more for actual employees (with payroll deductions from you).

New Member
Jan 17, 2021 4:28:57 PM

Is there any way to change the type of business in midstream?  Ive spent over an hour trying to find where to enter subcontract expenses.  Thanks.

Intuit Alumni
Feb 2, 2021 8:30:40 AM

You can change the business type from the self-employment profile:

- From the left side selection, go to the drop-down menu of self-employment.

- Go to the self-employment profile and it will walk you through the business types.

- On the second slide click on edit beside the business summary, change from "professional" to "other type of business".

 

The software will save your expenses and vehicle information. However, you will have to re-enter the income section since professional income is different from other types of business.

 

 

I hope this was helpful

Returning Member
Mar 14, 2022 11:52:03 AM

how do I do this in 2022 for my 2021 taxes? there is no option for subcontracts.

New Member
Apr 28, 2023 1:55:52 PM

I can not change my business from professional to other - please help, this is incredibly frustrating!

Moderator
Apr 29, 2023 5:37:16 PM

@sgforsyth If you chose professional instead of business, then you will have to delete the business, and create a new one with Business(Goods sold) as the type.

New Member
Mar 18, 2024 11:14:01 AM

Although deleting the business and starting again is a frustrating solution, it seems to be what I have to do.  But how do I delete the business and create a new one??  Any time I start a new return I don't have the base question to register my business as goods sold!

Moderator
Mar 18, 2024 11:38:16 AM

@ASPSten Use the “Find” tool🔍 to search for “self”. Select “Self-Employment Summary” and then click the “Go” button. Then you will see a list of all the businesses that are entered, and you can delete the ones that are not needed.

 

Then click on “Enter A new Business” and select “Business” as the category.