hi! do you know if a corresponding is ALSO generated? Or if the IRS flags an 1099-NEC without a schedule C?
Basically, I also have a 1099-NEC that I am filing as a hobby. I have a fear that even though I am doing it properly through the website, that the IRS system will automatically flag any 1099-NEC that doesn't have a schedule C. I have been advised from a CPA that the best way to cover my basis, if he was filing, is he would do the schedule C but write off the entire amount, with a note that says "Non SE income, filing as hobby on 1040 as Other income." This way the IRS software isn't confused as to why a 1099-NEC doesn't have a schedule C along with it. But it also would be filing as hobby.
Basically, he just doesn't want the system to AUTOMATICALLY flag a 1099-NEC without a matching schedule C, even if properly adding it to other income on the 1040. I see this question was asked last year though, do you happen to know if there have been any issues with this kind of thing? Or does just fiing it as hobby work this way? I just don't want to get a letter from the IRS all because of a computer system, if that makes sense
