I am currently doing my taxes and I have received a 1099-NEC from a class action lawsuit settlement. The Settlement was from Apple's Small App Developer fund. I have information in Box 1 only (Nonemployee compensation)
This was the requirement for the lawsuit
- Was sold for a non-zero price;
- Was sold via Apple’s iOS App Store between 2015 and 2021; and
- Earned, together with any other iOS applications or in-app products (including subscriptions) sold through all of your associated developer accounts, proceeds equal to or less than $1,000,000.00 through the App Store U.S. storefront in every calendar year from 2015 to 2021 in which you had a developer account.
When I go through the process to enter the 1099-nec in TurboTax, I am selecting
1. This money was from a lawsuit settlement
2. No for the question of "was any part of the lawsuit settlement for back wages"
When I do this it says that I am Missing Info: One of you 1099-nec forms doesn't include enough info for us to know where to report the income on your return. We recommend you go back and edit the following form, answering all the questions so we can link it to the right activity.
I have answered all the questions and I have answered them the way I believe they should be. Any help is appreciated as I am not sure where to go with this.
