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June 6, 2019
Question

Tax Year Prior to 2020: 1099-misc's received in my name as an Independent Contractor were actually payed to my employer, how do I report that on my schedule C?

  • June 6, 2019
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1 reply

June 6, 2019

You will enter the full amount of the 1099-MISC on your Schedule C. Then you can deduct the amount paid to your employer as Legal and Professional Fees or as a separate line item with a description as an Other Miscellaneous Expenses (see below).  Either category will work for this.

How to get to that area  While inside the software and working on your return, type Schedule C in the Search at the top of the screen (you may see a magnifying glass there).  There will be a popup that says Jump to Schedule C.  Select that to get to the general area. 

  • Business Income and Expenses
  • select Edit next to your business (if it is there)
  • scroll to Business Expenses
  • then, Other Common Business Expenses
  • select that, then on the next screen you will see categories and can choose Legal & Professional Fees or Other Miscellaneous Expenses

If you select Other Miscellaneous Business Expenses, you will be able to type a description and the amount.

Follow through all the areas in the Business section of the TurboTax software and it will provide you with a lot of assistance. You'll notice blue links that have more information and details about the particular sections that will be extremely helpful. 

Also, this link may be helpful to you IRS Small Business Help Center .