Everyone keeps talking about whether you need to file, but nobody's mentioned that you might WANT to file even if you're not required to. If you had any federal tax withheld on those dividends (check box 4 on your 1099-DIV), you'd need to file to get that money back as a refund. Filing is free at your income level, so I'd just do it to be safe.

Based on what everyone's shared here, it sounds like you definitely need to file since your $1,800 in dividends exceeds the $1,250 threshold for unearned income that others mentioned. I'd also suggest checking your 1099-DIV form for any federal tax withholding in box 4 - if there's money there, filing would get you that back as a refund. The IRS Interactive Tax Assistant that Malik mentioned seems like a great starting point to confirm your filing requirement, and it's free and official. Even though you won't owe any taxes due to the standard deduction, filing keeps you compliant and might even put money back in your pocket if anything was withheld.

Since you're in Texas specifically, I wanted to mention that while we don't have state income tax (which is amazing), you might still have some local tax considerations depending on your situation. Some cities require permits or have special local taxes for certain types of businesses. Also, if you're doing any kind of physical product sales with your 1099 work, don't forget about sales tax collection requirements - that catches a lot of people by surprise here.

For most consulting services in Texas, you typically don't need special permits at the state level, but it can vary by city and county. Since you're doing remote consulting, you're probably fine, but I'd recommend checking with your local city clerk's office just to be safe. The main thing to consider is whether you need a general business license in your city - some require it for any business activity, even if it's just consulting from home. Also, if you're using a business name that's different from your legal name, you might need to file a DBA (Doing Business As) with your county. For tax purposes though, none of this changes your 1099 obligations. You'll still need to set aside that 30-35% regardless of permits. The good news is that any business license fees or permit costs are tax-deductible business expenses!

Protip: Check your VA tax account online instead of TurboTax status. Sometimes TT is slow to update the state status

Just wanted to chime in with some additional perspective - I've been dealing with VA state returns for years and this level of delay is unfortunately becoming more common. The identity verification measures Zainab mentioned are part of their effort to combat fraud, but it's definitely creating longer wait times for legitimate taxpayers. If you're really anxious about it, you can try calling the VA Department of Taxation directly at (804) 367-8031, though expect long hold times. Hang in there - your refund will come through!

Don't overthink this - just report it as "Other Income" on Schedule 1 and move on with your life. It's not self-employment income since you weren't actively involved in the business, and it's not a gift since there was an expected return. The key with situations like this is to make a reasonable, defensible choice and be consistent. The last thing you want is to get creative with tax reporting and then have to explain yourself later. People get in trouble with the IRS when they try to get too clever with borderline cases. Reporting as other income is straightforward, accurate, and won't raise any red flags.

I've been through something very similar and can share what I learned after consulting with a tax professional. The key factor is that you provided money with a clear expectation of return based on performance - this makes it an investment arrangement, not a gift. Here's what I'd recommend: Report this as "Other Income" on Schedule 1, Line 8z. You don't need Schedule C unless you're regularly in the lending business. The amount isn't subject to self-employment tax since you weren't actively participating in the house flipping business itself. A few important considerations: Make sure you keep records of when you provided the money and when you received the return, as this could affect whether it's treated as short-term or long-term investment income. Also, if your friend issues you any tax forms (like a 1099), make sure your reporting is consistent with whatever he files. The "gift" route is risky because the IRS looks at substance over form - a payment that's exactly 25% of profits clearly shows an investment arrangement rather than generosity. Better to report it correctly as investment income and avoid any potential issues down the road.

Has anyone dealt with the issue of DeGiro not providing proper French tax forms? When I was with a French broker, they used to give me a "Imprimé Fiscal Unique" that made declarations super easy, but DeGiro doesn't do this.

I went through this exact same situation last year when I opened my DeGiro account. Here's what I learned from speaking with a tax advisor: 1. **Form 3916** is mandatory every year for ANY foreign account, regardless of balance or activity. Even if you just opened it and haven't invested anything yet, you must declare it. 2. **Form 2047** is for reporting actual income (dividends, capital gains, interest) from foreign sources. If you haven't earned anything yet, you still need the 3916 but can skip the 2047 for now. 3. **Timing matters** - you need to declare the account for the tax year in which it was opened, even if it was December 31st. 4. **Documentation** - Keep all your DeGiro statements and correspondence. The French tax authorities can ask for proof of the account details at any time. One thing that caught me off guard was that even my unused cash sitting in the DeGiro money market fund counted as a "foreign investment" and needed to be reported differently than just cash in a bank account. The good news is that once you've done it the first time, subsequent years are much easier since you just update the same forms with current balances and any new income.