Yes, because most sole-proprietors are considered cash basis (meaning you report your income when you are paid), you would include any income that you received in 2020 on your 2020 tax return. You will still need to report this income on a Schedule C, since that income will be subject to self-employment taxes.
To enter this income in TurboTax:
- Open or continue your return.
- In the search bar type Schedule C and click the Jump to link in the search results.
- Answer Yes to Did you have any self-employment income or expenses?
- Follow the onscreen instruction
