I've looked on the forums here and have yet to find the answer to this question (even though it may exist and I haven't seen it yet). The problem I am having is that my wife had an erroneous 1099-K sent to her for a PayPal transaction that was REVERSED. When she contacted PayPal to re-issue a corrected 1099-K form, they refused. She was instructed to use the directions from IRS which state:
"If a corrected 1099-K cannot be obtained
If taxpayers can't get a corrected Form 1099-K, report the information on Schedule 1 (Form 1040), Additional Income and Adjustments to Income, as follows:
- Part I – Line 8z – Other Income – Form 1099-K Received in Error.
- Part II – Line 24z – Other Adjustments - Form 1099-K Received in Error.
The net effect of these two adjustments on adjusted gross income would be $0."
The PROBLEM is, TurboTax Deluxe 2023 which we are using, does not allow us to enter this. I cannot manually enter it either. TurboTax does not allow me to edit the 1040 Schedule 1 form. The erroneous transaction is $800 ($200 over the limit for reporting). How do I account for this without increasing my liability on my taxes?
Thank you in advance.
