FAA4.H Income Eligibility Factor : 01 Requirements and Types : B Income Types : .09 Billboard Sales, Swap Meets, and Yard Sales
Billboard Sales, Swap Meets, and Yard Sales
Information on this page refers to the Nutrition Assistance program Information on this page refers to the Cash Assistance program
This section includes information about income derived from billboard sales, and the sale of goods at swap meets and yard sales.
Policy
Income from billboard sales(g), swap meets, and yard sales is considered income derived from the sale of goods. Income derived from the sale of goods, including personal property and items purchased for the purpose of resale, is countable.
This includes, and is not limited to any of the following types of sales:
Billboard sales
Swap Meets
Yard Sales
Swap meets are places that people can buy and sell goods to the public. Yard sales are sales of goods to the public, held on private property (yard, garage, carport, etc.).
Billboard sales is the sale of items initiated by posting the items for sale electronically or on paper. This includes and is not limited to any of the following:
eBay
Craigslist
Etsy
Amazon
Letgo
OfferUp
Mercari
Community bulletin board
Newspaper or radio advertisement
Income derived from the sale of goods is considered self-employment when it meets the self-employment(g) definition.
Self-employed participants may be eligible for a 40% expense deduction from income. To be eligible for the 40% Self-Employment Expense Deduction, only one allowable expense needs to be verified. When self-employment expenses are not verified using the verification process, eligibility is determined without those deductions.
Countable income is used to determine an income budget. (See Income Budgeting to see how FAA determines the income budget.) FAA needs to know about income that is both countable and not countable to determine whether a budgetary unit’s expenses are exceeding their income. (See Income Eligibility for more information about how FAA uses countable and not countable income.)
Procedures
When the sales are done on a recurring basis (i.e., monthly, quarterly, annually), see Budgeting Self-employment Income and Averaging Income.
When the sale of goods is unpredictable, income is countable as actual income in the month received. (See Budgeting Odd Jobs for budgeting procedures.)
When the participant meets the definition of self-employment and expenses are incurred, see Allowable Self-Employment Expenses.
When the participant is present, have them sign the Authority to Release (FAA1765A) form to contact any companies or businesses involved. The FAA-1765A can be faxed or emailed to the participant's employer when it is not possible to use the Application for Benefits (FAA-0001A) or the HEAplus Authority to Release signed statement.
When the self-employment definition is not met, see Wages and Salaries. (See Income Types for additional income types.)
Verification
System interface and the case file(g) must be reviewed before verification is requested. No additional verification is needed when AZTECS interface or HEAplus hubs have verified the information.
The participant has the primary responsibility for providing verification. (See Participant Responsibilities – Providing Verification for additional policy.)
For NA, all of the following income is required to be verified before eligibility is determined:
Reported on a new application, during the interview of a new application, or changes reported before the eligibility determination of a new application.
Changes after an eligibility determination of a new application (e.g., a renewal application, mid approval contact, etc.) and any of the following apply:
The source of the income has changed.
The income is questionable(g) or unclear(g).
The reported income amount has changed by $51 or more.
The previous verification in the case file is more than 59 calendar days old.
For CA, all income is required to be verified before determining eligibility.
Examples of verification that can be used for Billboard Sales, Swap Meets, and Yard Sales include, and are not limited to, any of the following:
Bookkeeping records
Business ledgers listing income amounts received and expenses incurred
Actual receipts
Contracts for work
Statements from patrons and companies
Most recent Internal Revenue Service (IRS) U.S. Individual Income Tax Return (1040) form. Below are common IRS Schedule forms that the participant may provide in addition to the 1040:
Schedule C, Profit or Loss From Business
Schedule E, Supplemental Income and Loss
Schedule F, Profit or Loss from Farming
Schedules B-1, C, D, K, K-1, K-2, K-3, and M-3 of IRS U.S. Return of Partnership Income (1065) form (See Limited Liability Company (LLC) Definition for more information about LLCs.)
NOTE Do not use the most recent IRS 1040 and Schedule forms when the participant indicates it does not accurately reflect the participant's current income.
Rent or mortgage receipt for business property
Property tax statements for business property
Utility costs for business property
Cleaning cost bills for business property
Business location and equipment maintenance
Personal records indicating personnel salaries or costs of outside labor, such as canceled checks and payroll checks
Participant’s statement for self-employment income, when one of the following apply:
Obtaining documented or collateral contact verification may cause harm or undue hardship(g) for the participant.
When all of the following occur:
Other attempts to obtain the verification have failed. This includes documented and collateral contact verification.
The participant has requested assistance from FAA.
The worker has evaluated the request for assistance and cannot obtain the verification from another acceptable source.
The participant statement is not questionable(g).
Participant’s statement for self-employment expenses unless questionable.
NOTE When self-employment expenses are not verified, eligibility is determined without the 40% Self-Employment Expense deduction.
AZTECS Keying Procedures
Key SA in the INCOME TYPE field on SEEI.
Document the case file(g) thoroughly to support keyed codes, amounts, and frequencies. See the AZTECS Data Entry Guide for instructions on keying the AZTECS income screens.
NOTE Documentation must support determinations of eligibility and benefit level. Document in sufficient detail to ensure that any reviewer can assess whether the determination is reasonable and accurate. Include specific information regarding the reason the income is determined to be normal. (See Budgeting Income Documentation Requirements for additional information.)
Legal Authorities
last revised 10/02/2023