JulieS
Expert Alumni

Get your taxes done using TurboTax

If your 1099-MISC shows a figure in box 3, Other income, you are supposed to enter it in as Other Income. 

 

I understand that may feel wrong to you, but the IRS considers crypto currencies as property, not as currency, since they are not backed by a Centralized authority. And, yes, I know that is the whole point of crypto.

 

Under current IRS guidance, only sales of crypto assets are treated like investments.

 

Here is how to enter your 1099-MISC box 3 amount:

  1. Select Federal on the left side menu.
  2. Select Income and Expenses toward upper left.
  3. Expand/ scroll down the list and find the section called, Less Common Income.
  4. Scroll all the way down and select Miscellaneous Income, 1099-A, 1099-C.
  5. Select Other reportable income.
  6. Answer the first question Yes.
  7. Enter a description and amount on this page, click Continue. 
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