My sole proprietorship (not my name but my business name) received a 1099-G for a COVID Grant from the state (which is not taxable on the state return).
In Turbotax Home and Business, Where does this get reported? If its in the business section under my sole proprietorship, won't that then appear in taxable business income on the NJ state return? It should not be taxable to the state. Or, should I record it where 1099-G's get reported in the personal income section?
Also, if I include it in the business section, won't that make it subject to self-employment tax, whereas if I record it in the 1099-G section of personal income, it wouldn't be subject to self-employment tax?
