Original Question: Prize money from NASA for software. Received a 1099 Misc Turbotax is using a schedule C. Is it a qualified trade or business? I work for NASA's Jet Propulsion Lab. Response: ANSWER Here is how to enter your 1099-MISC for Prize Winnings: Select "Federal" on the left panel Select the "Wages & Income" sub-tab at the top of the screen Select See all income Scroll down to Other Common Income and select show more Start/Revisit box next to Income from Form 1099-MISC. Did you get a 1099-Misc? click on the Yes button Enter the information from the 1099-MISC On the screen Does one of these uncommon situations apply? mark that This was prize winnings and click Continue Follow up response: Thank you for the steps. I deleted the old forms and followed these. Now under forms I again have a red exclamation point by Schedule C (NASA award). When I go to the form, pink boxes appear in the section "Qualified Business Income Deduction Info" The highlighted question is "Is this activity a qualified trade or business (yes or no)?" What is the correct response?

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1099misc prize money

Forum|Forum|7 years ago
June 5, 2019
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Original Question:

Prize money from NASA for software. Received a 1099 Misc Turbotax is using a schedule C. Is it a qualified trade or business? I work for NASA's Jet Propulsion Lab.

Response:

ANSWER

Here is how to enter your 1099-MISC for Prize Winnings:

Select "Federal" on the left panel
Select the "Wages & Income" sub-tab at the top of the screen
Select See all income
Scroll down to Other Common Income and select show more
Start/Revisit box next to Income from Form 1099-MISC.
Did you get a 1099-Misc? click on the Yes button
Enter the information from the 1099-MISC
On the screen Does one of these uncommon situations apply? mark that This was prize winnings and click Continue

Follow up response: Thank you for the steps. I deleted the old forms and followed these. Now under forms I again have a red exclamation point by Schedule C (NASA award). When I go to the form, pink boxes appear in the section "Qualified Business Income Deduction Info" The highlighted question is "Is this activity a qualified trade or business (yes or no)?" What is the correct response?