I received a 1099-MISC for a bonus received from my employer. It is not adding it to my income, but is stating I need to fill in a schedule C for self-employment.
I received a 1099-MISC for a bonus received from my employer. It is not adding it to my income, but is stating I need to fill in a schedule C for self-employment.
Bonuses received from your employer should really be reported on Form W-2. By reporting on a 1099-MISC they have not paid their share of FICA taxes.
Instead of utilizing the 1099-MISC input and creating a business, follow these steps in TurboTax Online:
Navigate to Federal > Wages & Income > Less Common Income > Miscellaneous Income, 1099-A, 1099-C > Start or Revisit
On the next screen select Start or Revisit Other income not already reported on a Form W-2 or Form 1099
The next page asks Did you receive any other wages?, choose Yes and Continue
Continue through the interview until you arrive at the screen Any Other Earned Income? Choose Yes and select Continue
Now, Enter source of other earned income, Employee compensation that was not reported on a W-2 and continue, ignoring note that says not to enter payments for which you will receive a 1099.
Continue through the interview, at Report Your Wage Income, report the amount from the 1099-MISC, and use the information from W-2 for employer's name and EIN. Check the box "I received a Form 1099-MISC for this income." Select Code H - I received a Form W-2 and a separate Form 1099-MISC