<prompt> Human: A little background: I work full time as an hourly employee for a large company in Texas, USA and get the vast majority of my income from this job. I also create 3D models in my spare time and upload them to Shapeways, which is a marketplace for people to buy 3D printed versions of my models. I make a commission from each sale, which is typically a couple dollars. At what point do I make enough money from this that I need to claim this money as income? Several of the projects Ive taken on required purchasing books or other research material to make the 3D models. Do these expenses offset the income received before I reach the threshold where I consider the commissions part of my income or after? In other words, I spent 400 on booksresearch material, then I made 700 in commissions. Do I claim the 700 in income then deduct the 400 or do I just start off with the net imcome of 300?  <response>: At what point do I make enough money from this that I need to claim this money as income?The first 1 you make. Do these expenses offset the income receivedYes. They offset your income.Include both the income and expenses in Schedule C, and calculate net earnings, which is the taxable part. 