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April 11, 2025
Question

nonpassive loss from grantor letter

  • April 11, 2025
  • 1 reply
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My grantor letter has a line that's labeled "nonpassive income (loss) from business".  Where do I input this loss?

    1 reply

    April 11, 2025

    Since it is non-passive business income, it is probably from an interest in a normal business. Such income would normally be reported on a Form 1099-NEC if you were a material participant in the business, or a Form 1099-MISC if you had a passive interest in the business. If you don't have those forms, you can enter the income in the self-employed income section of TurboTax if you materially participate in the business. Otherwise, you can enter it as "other income" as follows:

     

    1. From the Federal menu in TurboTax find Wages and Income 

    2. Find Less Common Income

    3. Choose Miscellaneous Income, 1099-A, 1099-C

    4. Choose Other Reportable Income

    5. Enter a description of the income and enter the amount 


     

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