How to report Schedule D capital gain/loss as self-employment income on a Schedule C

Forum|Forum|1 year ago
March 26, 2025
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I'm using Turbotax Home & Business, tax year 2024. I have significant capital gains on my schedule D (from a brokerage 1099-B) and would like to transfer that to my Schedule C as self-employment income.
The IRS says I can do that by adding that income to my Schedule C before adding it to line 12 of the 1040.
However I can't figure out how to do that in Turbotax, which doesn't allow me to remove it from the 1040 line 12.
Please advise. Thanks,

TurboTax Home & Biz Windows

VolvoGirl

Employee

1040 line 12 is the Standard Deduction or your itemized deductions whichever is more. Nothing to do with Captial Gains or Schedule C. Capital Gains show up on 1040 line 7. Schedule C Net Profit goes to Schedule 1 Line 3 then to 1040 line 8.

What are you trying to do? Do you want to pay self employment tax on it instead of the Capital Gains rate?

danwelterAuthor

Right, Line 7.
What I'm trying to do is maximize my SEP IRA Contributions. The reason is the Schedule C is at a net operating loss, but by including capital gains would flip positive. Thanks,