Most income is taxable unless it’s specifically exempted by law. Income can be money, property, goods or services. Even if you don’t receive a form reporting income, you should report it on your tax return. Income is taxable when you receive it, even if you don’t cash it or use it right away. It’s considered your income even if it’s paid to someone else on your behalf. Types of taxable income Taxable income can include payments you receive from: Employment Wages and employee benefits included on Form W-2 Self-employment or side jobs Freelance or independent contractor work Goods or services you sell online Gig work or side jobs, often through apps Renting out personal property Bartering services or goods Royalties Businesses Partnerships or other business entities Investments Capital gains Stock options, splits or trades Interest Dividends Digital assets or cryptocurrency Benefits paid to you Retirement plan distributions, pensions or annuities Unemployment benefits Social Security income Some life insurance proceeds Some survivor benefits Other types of income Tax refunds, reimbursements and rebates Canceled debts Alimony payments Court awards and damages Some scholarships Gambling winnings Prizes and awards Related Taxable and Nontaxable Income, Publication 525 Your Federal Income Tax, Publication 17
