Yes. This can be entered in TurboTax. You may need to treat it as self-employed income. This means that the income is subject to the employer and employee portions of Social Security and Medicare. Each type pays 7.65%. When the income is subject to self-employment, and you are both the employer and the employee, then you would pay 15.3%.
Please see this article that includes a list from TurboTax Expert DianeC958 summarized from IRS Publication 15. This list of benefits shows what would be excludable from Social Security and Medicare. You would not have to claim the benefit as self-employment income only if your taxable fringe benefit is included on this list.
If your income is not on the list, you will have to claim it as self-employment. Follow these steps:
- From the left menu, select Federal
- Now you will be on the Wages & Income screen. Scroll down to Income from Form 1099-MISC and click Edit/Add
- Check over the details for Form 1099-MISC exactly as you received it.
- After the description screen, you will see Does one of these uncommon situations apply? screen. Select None of the Above
- Continue through the rest of the prompts: Did this involve work that's like your main job?
- How often did you get income for this? Answer and click continue
- Did this involve the intent to earn money
- Do you have another 1099-MISC? Answer and click Continue
If your income is on the list, and you do not have to claim it as self-employment, then follow these steps:
- From the left menu, select Federal
- Now you will be on the Wages & Income screen. Scroll down to Income from Form 1099-MISC and click Edit/Add
- Check over the details for Form 1099-MISC exactly as you received it.
- After the description screen, you will see Does one of these uncommon situations apply? screen. Select This was a bonus, prize, award, trip or extra benefit from my employer.
- Continue through the rest of the prompts: Did this involve work that's like your main job?
- How often did you get income for this? Answer and click continue
- Did this involve the intent to earn money
- Do you have another 1099-MISC? Answer and click Continue
