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Get your taxes done using TurboTax
You can enter the 1099-NEC as other income, but you will not be able to deduct any expenses against it. In actuality, if you accepted a "contract" to complete a project or assist with the project, you are considered self-employed to the IRS as an independent contractor.
See What self-employed expenses can I deduct? for information on how to reduce your taxable income in this situation.
To report your 1099-NEC as self-employment income you can follow these steps:
- Open or continue your return in TurboTax
- Search for self employed income (use this exact phrase, don't add a hyphen) and select the Jump to link at the top of the search results
- Answer Yes on the Did you have any self-employment income or expenses? screen
- If you land on the Your 2022 self-employed work summary page, select Review next to the work you're adding income for
- Answer the questions on the following screens until you arrive at Let's enter the income for your work
- Select the form that applies to your situation and Continue
- You can enter the info from your 1099 form on the following screens
To enter your 1099-NEC as other income and not deduct expenses you can follow these steps:
- Within your tax return click on Wages & Income in the black menu bar to the left
- Click the dropdown for Other Common Income and Start for Form 1099-NEC
- Answer the questions until you get to the Does one of these uncommon situations apply? screen
- Click This is not money earned as an employee or self-employed individual, it is from a sporadic activity or hobby (this is not common).
- Click Done and continue entering/reviewing your return
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‎February 13, 2023
3:22 PM