Instacart is a grocery delivery service that allows customers to order groceries online and have them delivered to their door. customers are generally expected to receive a 1099 from Instacart for any food and beverage deliveries that exceed $60 in value.
This means that if you make more than $600 in food and beverage deliveries through Instacart in a given year, your income from those deliveries will be reported to the IRS.
When you make food or beverage deliveries through Instacart, you are generally required to follow the same tax obligations as if you were delivering the items yourself. This means that you must report your income and pay taxes on it, just like any other business owner.
One thing to keep in mind is that Instacart is not considered a traditional employer. This means that you are not required to provide workers’ compensation, health insurance, or other benefits.
If you do provide these benefits, you will likely be responsible for paying taxes on the benefits that you provide to your Instacart employees.
Overall, it is important to be aware of your tax obligations when working with Instacart. By following the proper steps, you can ensure that you are paying the correct amount of taxes and avoiding any potential penalties.
