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Deferring crop insurance proceeds

I have crop insurance proceeds reported on 1099-Misc that I want to defer to 2021.  In the input area for Crop Insurance for Farm Rental Income and Expense, there is only a field for crop insurance NOT reported on a 1099. If I enter it here it gives me the option to defer it.  However, if I enter it in Farm Income Reported on 1099-Misc (because it was reported on a 1099) TurboTax does not give me the opportunity to defer it.  How can I enter the crop insurance proceeds as both reported on 1099 AND defer it to 2021?

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2 Replies

Deferring crop insurance proceeds

I had similar question for farm rental (form 4835).  The solution seems to be to NOT report the crop insurance proceeds in the 1099-MISC part of farm income step-by-step.  Instead report the crop insurance proceeds further down under the heading "Crop Insurance Payments/Federal Disaster payments".  After I did that I got the option to defer.

I'm not sure why there are 2 entry possibilities. 

Did you get any clarification from TurboTax?

DianeW777
Expert Alumni

Deferring crop insurance proceeds

The entry of Forms 1099 is not a requirement, however in most cases it's a convenience.  The IRS already has a copy of your 1099-MISC.  Due to the many changes this year, there are experiences where a direct entry is the best solution. 

 

As you see, reporting the crop insurance proceeds in the specific section for this income on the Schedule F produces the necessary results.  Do not try to make two entries.

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