Solved

Keep trying to enter a 1099misc (like last year) but it keeps generating a schedule C (it didn't last year) Keeps asking for more info on schedule c and no company exists

Forum|Forum|7 years ago
June 6, 2019
2 replies
0 views

Spouse helped out another company that needed her social work experience. It was for just a short time and sent a 1099Misc. Last year it just enter income and did not generate a schedule c but this year it did. WHY? How do I get an answer so I can submit return

TurboTax Deluxe Windows

Best answer by Hal_Al

The IRS considers anything in box 7 of 1099-MISC to be self employment income. TurboTax (TT) aggressively steers you in that direction. If you try reporting box 7 income as anything else, you chances of hearing from the IRS are very high. If your wife has done this type of work two years in a row, even for short periods, and it's in her regular line of work; it is probably self employment.

That said, the key to getting TT to treat it as other income is to follow these steps:

Enter the 1099-Misc

On the next screen Describe what the payment was for

On the next screen select "none of these apply"

On the next screen select "No it didn't involve work like my main job"

On the next screen select "I got it in 2017" ONLY

On the next screen select No, it didn't involve intent to earn money

TT will put the amount on line 21 of form 1040 as other income

Hal_AlAnswer

Employee

The IRS considers anything in box 7 of 1099-MISC to be self employment income. TurboTax (TT) aggressively steers you in that direction. If you try reporting box 7 income as anything else, you chances of hearing from the IRS are very high. If your wife has done this type of work two years in a row, even for short periods, and it's in her regular line of work; it is probably self employment.

That said, the key to getting TT to treat it as other income is to follow these steps:

Enter the 1099-Misc

On the next screen Describe what the payment was for

On the next screen select "none of these apply"

On the next screen select "No it didn't involve work like my main job"

On the next screen select "I got it in 2017" ONLY

On the next screen select No, it didn't involve intent to earn money

TT will put the amount on line 21 of form 1040 as other income

J

jwagner504

I live NJ. I followed these instructions and had to redo the cycle of delete/re-enter several times before the Federal return did the correct thing. How do I get the NJ form to stop asking about Business profits?

E

ErnieS0

You can delete NJ Business profits in TurboTax @jwagner504. The form will stay deleted as long as no data is being fed into it. Otherwise it will repopulate. This should not happen if you deleted the federal Schedule C and related forms.