How do I enter a1099-MISC as other income, not self-employment income?

Forum|Forum|1 year ago
February 10, 2025
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I received a 1099-C from UAW for legal services they provide as a retiree benefit. How do I enter the1099-MISC as other income, not self-employment income?

MinhT1

If you receive a form 1099-MISC for a legal service plan, then you are not considered as self-employed and do not need to file a Schedule C.

In TurboTax Online, enter your form 1099-MISC by following these steps:

Open your tax return
Click Federal in the left-hand column then on Wages & Income
Navigate to the list of income categories
Locate the section Other Common Income and click on the down arrow on the right
Click Start next to Form 1099-MISC
Follow the interview until you arrive at the page titled Did this involve an intent to earn money?. Answer that this did not involve an intent to earn money. The amount will be reported as Miscellaneous income and will not be subject to Self-employment tax.

In TurboTax, there is a work-around. Although you may receive this income every year, say that you only receive the 1099-MISC in 2024, not in previous years and not in 2025, you will then have the screen where you can say that it did not involve an intent to earn money.

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weemorey

I received a 1099-misc from General Motors Legal Services Plan. This is a fringe benefit that we receive each year for a negligible amount ($26.34). They tell us we don’t have to file a schedule C, but Turbo Tax is forcing the issue. This is not self-employment income!! And we do our own taxes and it is a royal pain in the butt. I have checked the answers to others on here who have asked the same question these past few years, and followed the instructions. But TurboTax keeps taking me to schedule C! How do I get around this? Lee Morey

CatinaT1

Follow the steps MinhT1 outlines in the message before yours.

In TurboTax Online, enter your form 1099-MISC by following these steps:

Open your tax return
Click Federal in the left-hand column then on Wages & Income
Navigate to the list of income categories
Locate the section Other Common Income and click on the down arrow on the right
Click Start next to Form 1099-MISC
Follow the interview until you arrive at the page titled Did this involve an intent to earn money?. Answer that this did not involve an intent to earn money. The amount will be reported as Miscellaneous income and will not be subject to Self-employment tax.