KTom
Level 2

Get your taxes done using TurboTax

I have the same question, I received a 1099-NEC for a legal settlement. In TurboTax Premier, I used the 1099-MISC and Other Common Income section to enter the 1099-NEC. Once I entered all the information, I was asked the question 'Does one of these uncommon situations apply?', I selected the radio button 'This was a money from lawsuit settlement.'.  The next question was 'Was any part of the lawsuit settlement for back wages?',  I selected the 'No' radio button as it was not for back wages. 

 

Now, I get the message 'Looks like we're missing some info', one of your 1099-NEC forms doesn't include enough info for us to know where to report the income on your return. We recommend you go back and Edit the following form, answering all the questions so that we can link it to the right activity. 

I have answered all questions correctly as expected. What should I do now so that 1099-NEC is reported correctly on my TurboTax IRS return?