BrittanyS
Expert Alumni

Get your taxes done using TurboTax

The income from lost wages would be reported as miscellaneous income, not Schedule C income.  To enter this in TurboTax you will follow these steps:

 

  1. Sign in to TurboTax and open or continue your return.
  2. Click Wages & Income
  3. Click add more income
  4. Click Other Common Income
  5. Click Start next to 1099-MISC
  6. If you're asked Did you get a 1099-MISC?, answer Yes.
    1. If you've already entered a 1099-MISC, select Add Another 1099-MISC.
  7. Input the information from your 1099-MISC and select Continue.
  8. On the Describe the reason for this 1099-MISC screen,
    type in lawsuit settlement and select Continue.
  9. On the Does one of these uncommon situations apply? screen, select This was money from a lawsuit settlement and then answer the back wages question before selecting Continue.

Steps for entering a 1099-MISC can be found at:

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