Illegal activities.

Income from illegal activities, such as money from dealing illegal drugs, must be included in your income on Schedule 1 (Form 1040), line 8z, or on Schedule C (Form 1040) if from your self-employment activity.

Stolen property.

If you steal property, you must report its fair market value in your income in the year you steal it unless you return it to its rightful owner in the same year.