1099-misc

Forum|Forum|6 years ago
March 22, 2020
2 replies
11 views

My son received a 1099-Misc. Box 14 was checked. This was from a settlement from a summer job employer for reimbursement of medical bills for getting hurt on the job. It was over just $2,000.00. How much of this is consisted taxable income when it is a reimbursement for medical bills from the prior year? And why is it being considered a Business income? He is not self-employed.

Also, is there an amount of a 1099-MISC you don't have to report? My daughter-in-law received one for $3.25.

ColeenD3

Level 15

This is taxable as Other Income, but it is NOT subject to employment taxes. To enter it on your return, follow the instructions below:

Sign into your return and Take me to my return.
Choose the Federal return and the Wages & Income tab.
Scroll down to Less Common Income and Show more.
Choose Miscellaneous Income, 1099-A, 1099-C.
Choose Other Reportable Income and say Yes.
Even though the screen says "Do not enter income reported on Form 1099-MISC", this is where you will enter the description "1099-MISC for Medical reimbursement," the amount you received, and who received it.