Hi,
Thanks for the reply. Yes, the entirety of the 1099-NEC is for independent contractor work I invoiced years ago, but then the company went bankrupt. The liquidating trust finally completed the process and I was sent the exact amount I invoiced years ago.
I did try your approach of answering No to "Was any part of the lawsuit settlement for back wages", which leads to another issue reported on these boards, where TurboTax reports it is "Missing Info" it needs in order to know where to report the income on the return.
So instead, what I have done is on the earlier step of inputting the 1099-NEC, where it asks "Does one of these uncommon situations apply?", I choose "None of these apply to me" instead of "This was money from a lawsuit settlement". Then, I am given the option to Add a New Business, and can link the income to the business, when then shows the income in my Total Income.
