GR12
New Member

1099-MISC

My husband has a1099-MISC form from UAW  for legal services plan trust. He received to money. This is a retirement benefit. It is nonemployee compensation. The program keeps initiating a Schedule C for a business, which he does not have. How can I prevent this and delete the Schedule C form?

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the legal service plan says I do not have to file a schedule c with my tax return because the 1099 reported amount is not self-employment income

HelenC12
Expert Alumni

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To enter your 1099-MISC so it doesn't generate a Schedule C and you are using TurboTax Online:

  1. Sign in to TurboTax
  2. Search for 1099-misc.
  3. Select the Jump to 1099-misc link in the search results.
  4. Select Yes to Did you get a 1099-MISC?
  5. If you need to enter another 1099-MISC, select Add Another 1099-MISC to enter a new one.
  6. Enter the information from your 1099-MISC.
  7. If your form has an amount in more than one box, you’ll need to enter them as separate 1099-MISC forms. We’ll help you with that.
  8. On the Describe the reason for this 1099-MISC screen, enter a reason then Continue.
  9. On the Does one of these uncommon situations apply? screen, select None of these apply then Continue.
  10. On the Did the XXX involve work that’s like your main job? screen, select No, it didn’t involve work like my main job then Continue.
  11. On the How often did you get income from XXX? screen, select I got it in 2019 then Continue.
  12. On the Did the XXX involve an intent to earn money? screen, select No, it didn’t involve an intent to earn money then Continue.

To enter your 1099-MISC so it doesn't generate a Schedule C and you are using TurboTax CD\Download:

  1. Sign in to TurboTax .
  2. Search for 1099-misc other income.
  3. Select the Jump to 1099-misc link in the search results.
  4. Select Yes to Did you get a 1099-MISC?
  5. If you need to enter another 1099-MISC, select Add Another 1099-MISC to enter a new one.
  6. Enter the information from your 1099-MISC.
  7. If your form has an amount in more than one box, you’ll need to enter them as separate 1099-MISC forms. We’ll help you with that.
  8. On the Describe the reason for this 1099-MISC screen, enter a reason then Continue.
  9. On the Does one of these uncommon situations apply? screen, select None of these apply then Continue.
  10. On the Did the XXX involve work that’s like your main job? screen, select No, it didn’t involve work like my main job then Continue.
  11. On the How often did you get income from XXX? screen, select I got it in 2018 then Continue.
  12. On the Did the XXX involve an intent to earn money? screen, select No, it didn’t involve an intent to earn money then Continue.
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We made it to the final step but didn't get the last prompt question.  Took us straight to "Guess what?XXX can deduct expenses for the "name given to the legal benefit"work.  and still keeps insisting on the schedule C. HELP

ColeenD3
Expert Alumni

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Please see an alternative way from KathrynG:

 

You definitely should not have this  income subject to self-employment tax.

There is an alternative way of reporting other income you may want to try.

 

To enter in TurboTax, follow these steps:

  1. From the left menu, select Federal
  2. Wages & Income scroll all the way down to Less Common Income and click Show More
  3. Select the last listed option for Miscellaneous Income 1099-A, 1099-C, click Start
  4. Next, select the last listed option Other Reportable Income
  5. Did you receive any other taxable income, click yes
  6. Other Taxable Income: Enter your description and the amount and click Continue and Done. Disregard the comment "Do not enter income from Form 1099-MISC here" because this is meant to guide taxpayers reporting typical 1099-MISC income. Your case is less common and this is how you can report it in TurboTax.