Ok (user of 2023 desk Top deluxe TT) have the same situation to make an adjustment to a 1099 K I received for my 2023 tax liability. The payee to me in Jan 2023 used PayPal and listed the payment as a service (error by payee). Got the service fee taken off by Venmo, but because I live in Virginia, I received a PayPal 1099 K since the amount of $1,100 exceeded the $600 threshold.
I followed the directions from Teresa M to confirm receiving 1099K from PayPal. Then to other income to show the correction as 1099 K personal transaction -$1,100. Yes, this cleared out the tax liability, however this adjustment shows on Schedule 1 Part I-line Z and shows 0 entry on my 1040 line 8.
Curious why 2023 desk Top deluxe TT doesn’t show the adjustment on Schedule 1 Part II Line 24 Z as suggested by the IRS Notice FS-2023-27? No worries did TT Fed tax review and found no errors. In printing Schedule 1 Part I line Z says “See Stmt“and shows the following support statement
Additional Information From 2023 Federal Tax Return
Schedule 1: Additional Income and Adjustments to Income
Other Income Continuation Statement
Description Amount
Other Income from Form 1099-K 1,100.
1099 K personal transaction -1,100.
Total 0
Comments are welcome!
