Taxation of Tomorrow Small Business Recovery Grant

[Robert Anderson1]

I received a 1099G from the Wisconsin Department of  Revenue that reported the amount I received from a Wisconsin Tomorrow Small Business Recovery Grant.  I understand the grant is taxable for federal income tax purposes but question if it is also taxable for FICA? 

[JulieS]

Can you clarify your questions?

Is the 1099-G reported in you name and Social Security number. or the business name and tax ID number?

What is your business type, Schedule C (sole proprietor), partnership or corporation?

[Robert Anderson1]

Schedule C

[JulieS]

If the grant is made to your business, then it is reportable as business income and is subject to federal income tax and self-employment tax.

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