Intermediate Practice Tax Return #003 — The Gig Economy Driver (Head of Household)
Your gig worker client just handed you a 1099-NEC, a screenshot of their Uber earnings summary, and a shoebox of gas receipts, and they're expecting a refund. If you don't know how to handle self-employment income, SE tax, business expense deductions, and Head of Household status all on the same return, you're about to have a very uncomfortable appointment.
Gig returns are everywhere now, and that "I'll figure it out as I go" mentality is not a strategy.
Meet Trevor Washington — a gig driver with 1099-NEC income from Uber and DoorDash, a qualifying child, mileage deductions to calculate, and self-employment tax to navigate.
Practice Tax Return #003 walks you through a realistic gig economy driver scenario — Uber/Lyft-style income, business expense deductions, Head of Household filing status, and all the calculations in between.
Build the skills before the client appointment, not during it.
Scenario Details:
- Client: Trevor A. Washington
- Filing Status: Head of Household
- Dependent: 1 qualifying child — Kayla (age 9)
- Income Type: Self-employment only — 1099-NEC (Uber & DoorDash)
- Forms Involved: Form 1040, Schedule C, Schedule SE, Schedule EIC, Form 8879
- Key Concepts: SE tax, SE tax deduction, QBI deduction, Earned Income Credit (EIC), Child Tax Credit (CTC)
- Estimated Completion Time: 40–50 minutes
- Skill Focus: Schedule C profit calculation, self-employment tax, mileage deduction
What's inside this packet (15 pages):
- Page 2 – Client Scenario & Background
- Page 3 – Supporting Documents — 1099-NEC mockups + Expense Log
- Page 4 – What to Watch For + Hints
- Page 5 – Completed Answer Key — Schedule C & Schedule SE
- Page 6 – Completed Answer Key — Form 1040
- Page 7 – Common Mistakes & Explanations
Key Learning Outcomes:
- Correctly complete Schedule C for gig economy income from multiple 1099-NEC sources
- Calculate mileage and business expense deductions for a rideshare/delivery driver
- Compute self-employment tax on Schedule SE and apply the SE tax deduction above the line
- Apply the Qualified Business Income (QBI) deduction
- Claim Earned Income Credit on Schedule EIC for a qualifying child
- Apply the Child Tax Credit correctly for a single-parent HOH filer
- Understand how net self-employment profit flows through to the 1040
Perfect for: intermediate tax preparers, gig worker tax returns, 1099-NEC practice, Schedule C training, self-employment tax practice, mileage deduction training, EIC with self-employment income, Head of Household with gig income, rideshare driver tax returns, DoorDash and Uber tax training, TaxSlayer Pro practice, tax preparer exam prep, AFSP candidates.
File format: PDF (15 pages) Tax Year: 2025 Software Used: TaxSlayer Pro Level: Intermediate — Scenario #003 Provider: Tax IQ Academy | taxiqacademy.com | IRS-Approved CE Provider
