You’re taxed on your net profit, not the total job amount. Business expenses like Hoist’s commission, labor, and materials are deductible.

When Hoist sells a job on your behalf, we collect and keep 25% of the total job amount. You receive the remaining 75%, which is considered your gross income.

Your taxable income is calculated after subtracting job-related expenses (like labor and materials) from that gross income.

Example

For a $10,000 Job:

• Homeowner pays: $10,000
• Hoist keeps: $2,500 (25% commission)
• You collect: $7,500 (your gross income)
• Subtract your expenses:
  • Labor costs: $4,000
  • Materials: $1,000
• Your taxable net profit: $2,500

Do I Get a 1099 From Hoist?

No. Hoist isn’t paying you — we’re an expense, just like Angi, Sherwin-Williams, or labor. You only pay us when a job closes, and that commission is a deductible business expense you record on your books.

In rare cases, a homeowner might send you a 1099 for the full job amount (this happens occasionally). If that happens, don’t worry: you just deduct Hoist’s commission (and other expenses) when you file your taxes, so you’re not taxed on money that never reached you. We can provide a record of all of our commissions charged for jobs if you need it for your records.

Key Points

• You’re only taxed on your net profit, not the full amount.
• Hoist’s commission is a deductible expense, like labor and materials.
• If a homeowner ever issues a 1099 for the full job, you still deduct our commission at tax time.
• Always consult your CPA or tax professional to confirm how this applies to your business.