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1099-MISC state/arpa educator bonus misclassified as self-employment
In 2022 Rhode Island initiated an Early Educator Pandemic Retention Bonus program, using its ARPA (Rescue Plan Act) funds to incentivize Pre-School and Childcare workers to remain on the job. Their agent (a private company) issued a 1099-MISC form. I receive a normal employee W-2 for this early education job.
I'm using TT Premier online and attempt to enter this 1099-MISC under the Other Common Income section, but TT keeps characterizing this income as self-employment, runs me through the self-employment questionnaire and wants to subject this to self-employment tax. I can't see how to disabuse TT of this mistaken treatment.
(P.S.: This State program clearly indicates these bonuses are subject to Fed and State taxes (i.e. this: https://www.irs.gov/newsroom/irs-issues-guidance-on-state-tax-payments-to-help-taxpayers does not apply/waive).