Why my 1099-Misc triggers schedule C and Schedule SE-T? How to get rid of these two schedules?

Forum|Forum|4 years ago
March 16, 2022
2 replies
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I received a 1099-Misc box 3 for my scholarship, which should not be taxable, because I didn't need to do any service as a return.

I'm very surprised to see two new schedules in Turbo Tax, one is Schedule SE-T, which generates significant Self-Employment Tax, and Schedule C, which asks me about my business name and address. These two schedules are not relevant to my situation.

Do you have any suggestion on how to get rid of these two funny schedules in Turbo Tax?

Any advice is really appreciated. I have been stuck in this situation for the last few days.

Thanks.

Yonghai

Best answer by PattiF

You can enter the 1099-MISC so that it is not considered self-employment.

In TurboTax Online:

Go to Other Common Income in the Income & Expenses section,
Click Start at the 1099-MISC box
Enter info from 1099-MISC,
Describe the reason for this 1099-MISC, and Continue
Does one of these uncommon situations apply?, Choose None of these apply and Continue
Check that No, it didn't involve work like my main job
How often did you get income for stipend Pay, Choose I got it in 2021 and Continue
Did the stipend pay involve an intent to earn money, Choose, No, it didn't …. And Continue

PattiFAnswer

You can enter the 1099-MISC so that it is not considered self-employment.

In TurboTax Online:

Go to Other Common Income in the Income & Expenses section,
Click Start at the 1099-MISC box
Enter info from 1099-MISC,
Describe the reason for this 1099-MISC, and Continue
Does one of these uncommon situations apply?, Choose None of these apply and Continue
Check that No, it didn't involve work like my main job
How often did you get income for stipend Pay, Choose I got it in 2021 and Continue
Did the stipend pay involve an intent to earn money, Choose, No, it didn't …. And Continue