@ginxxie717 wrote:
Thank you all!
just to clarify compensation came from investor company my landlord was selling home to.
Because of years I had been a tenant I had to be compensated to leave So that company mailed me a 1099-NEC after payment, they explained because it was more than $600. My issue with all of this is that I'm being taxed for money that I needed to relocate, and it was used for that but because of the 1099 its like it was income I earned.
I was just on hold with IRS for about 3 hours and was told same thing.
Sadly, I will not be able to make deductions for this even if it all went toward the relocation.
Again, to the extent this is a rent rebate or rent discount, it is not taxable at all, in my opinion. There is a method to account for this in Turbotax. Just because the payer issues a 1099 does not necessarily make the money taxable income, if you can prove otherwise.
