1099-MISC that is NOT from working

Forum|Forum|5 years ago
February 22, 2021
1 reply
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For the last 4 years, my husband receives a Christmas bonus check from one of the unions he worked for. Since this is from the union's bonus fund and not husband's own retirement fund, the union reports it on a 1099 MISC. Every time I enter it, Turbotax keeps treating it like a side job, tries to force me to fill out a schedule C. There is no longer an option that allows me to select "No, it didn’t involve an intent to earn money” and so I am in a never ending circle. Because I am self employed and have a schedule C with a small income, we have in our joint return a 1099 MISC in my name, but TT keeps trying to treat this Christmas bonus as another business, is charging us self-employment tax, etc. What do I do??? I really need to file taxes and get our refund, and this is getting frustrating. Why is the "not an intent to earn money" option now gone?

PattiF

You can still enter the 1099-MISC as income that is not self-employment income.

Follow these steps in TurboTax Online:

In the Federal section, under Your income and expenses
Scroll to Other Common Income
Select Form 1099-MISC
Follow the Prompts and enter amount in Box 3, Continue
Christmas Bonus in Describe the reason for this 1099-MISC box
Do any of these uncommon situations apply? check last box
On next page, check No, it didn't involved work like my main job.

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rarussel

The solution did not work. It is still treating a retiree bonus as income from a personal business.

JillS56

Make sure when you are entering the 1099-MISC you are not entering it under Self-Employment but are entering it from Other Common Income > Form 1099-MISC > click on "Start" or "Revisit" > click on Add a 1099-MISC > enter the amount in Box 3 (other income). If you have gone through these steps which are the same steps as outlined in @pattif12 and it is not working. I would delete the 1099-MISC and re-enter the 1099-MISC. I just followed these instructions and it worked for me.