How to enter crypto staking income with as 1099-MISC as investment income?

Forum|Forum|1 year ago
April 7, 2025
2 replies
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I got some staking income and a 1099-MISC form for it. It is just investment income (like interest), but TT insists on putting it as a self-employment business income. How do I prevent that and enter my 1099-MISC as just some other (investment) income?

SabrinaD2

If you have 1099-MISC box 3 income for crypto or other investment income not considered self-employment income, follow these steps to enter your 1099-MISC in TurboTax Online.

Open or continue your return.
Go to 1099-MISC.
On the Did you get a 1099-MISC? screen, select Yes.
- If you enter on the Your 1099-MISC summary screen, select Add another 1099-MISC.
Enter the details from your 1099-MISC and select Continue.
On the Describe the reason for this 1099-MISC screen, enter crypto investment other income.
Select None of these apply on the Does one of these uncommon situations apply? screen.
Select No it didn’t involve work like your main job on the Did the crypto investment income involve work that's like your main job? screen.
Select You got it in 2024 on the How often did you get income for crypto investment other income? screen.
Select No it didn’t involve an intent to earn money on the Did the crypto investment other income involve an intent to earn money? screen.
- Even though staking and earning crypto interest/rewards may earn you money, you need to select No here because this investment income isn’t subject to self-employment taxes.
Follow the remaining onscreen instructions.

harscoetAuthor

Hmm it turns out that on step 8 if I select that I also got it in 2023 and/or intends to get it in 2025 (in addition to saying I got it in 2024), then the question in step 9 about the income involving an intent to earn money does not come up... That seems like a bug and the whole thing is rather obscure (investment is for earning money after all...).
Anyways when I select only 2024 in step 8, it works, thanks.

Fortigan2884

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