Enter this Miscellaneous Income:
- Click on the Federal tab.
- Click on Income & expenses.
- Scroll down to Less Common Income.
- Click on Start or Update button Miscellaneous Income, 1099-A, 1099-C
- On the next screen (Let's Work on Any Miscellaneous Income), click the Start or Update button for Other reportable income.
- Did you receive any other taxable income. Click Yes.
- Other Taxable Income, enter a description and the amount. Click Continue.
- Click Done.
The income will be reported on Schedule 1 line 8 (z) with the description that you entered.
To then reverse the non taxable income complete the same steps again and this time make a negative entry so it will net as zero.
