Get your taxes done using TurboTax

I'm glad you found a solution. To clarify, a Form 1099-MISC with an amount in Box 3, Other Income, may represent a variety of income types. All income is taxable unless specifically excluded by law.

You can enter Form 1099-MISC and identify that it was not income from working so that it doesn't get misclassified as self-employment income:

1. Select Income from Form 1099-MISC under Wages and Income.
2. Enter the payer information and dollar amount
3. Enter a description for the payment
4. When asked about Uncommon Reasons, select that none apply or select one that adequately explains the reason
5. When asked about the frequency of payment, select received in 2023
6. When asked "Did (description) involve an intent to earn money?" answer No (that is, it is not earned income and therefore not subject to self-employment tax)

If the income you received was for something other than regular or recurring self-employment, you can enter the amount under Other Reportable Income. In TurboTax Online:

1. Go to Wages and Income
2. Scroll down to Less Common Income
3. Go to Miscellaneous Income
4. Select Other Reportable Income and follow the prompts. Enter a description of the reason for the payment.

If you regularly have income from self-employment, you should report the income on Schedule C and you can deduct ordinary and necessary business expenses.

See this TurboTax tips article for more information about self-employment and the gig economy.