Solved

Is Form 1099 Box 2 Royalties income taxed at a different rate from Form 1099 Box 7 Nonemployee Compensation income?

Forum|Forum|7 years ago
June 1, 2019
1 reply
0 views

As an author and speaker, I earn royalties on my books and a speaker's fee when I lead seminars based upon them. However a 2016 Form 1099 I just received lumped both forms of income into Line 7. Should I request a revised Form 1099 that breaks Royalties income out in Box 2? Why or why not?

Thanks!

TurboTax Deluxe Online

Best answer by macuser_22

Box 7 is self-employed income that requires that SE (Self employment tax - Medicare and Social Security) if over $400 to be paid. Very different than royalties. If the 1099-MISC is incorrect you need to get it corrected.

macuser_22Answer

Employee

Box 7 is self-employed income that requires that SE (Self employment tax - Medicare and Social Security) if over $400 to be paid. Very different than royalties. If the 1099-MISC is incorrect you need to get it corrected.

**Disclaimer: This post is for discussion purposes only and is NOT tax advice. The author takes no responsibility for the accuracy of any information in this post.**