Yes, this was a reimbursement but the employer was justified in sending you a 1099-MISC.
To prevent you from getting taxed on the reimbursement, you will have to report the expenses that were reimbursed.
To report the "income":
- Enter
the 1099-Misc in the Other Common Income section (Enter
"1099misc" in the Search Box and Select "Jump to
1099misc")
- Indicate
that it is a "Reimbursement TVL EXP", that it does not involve work like your main job,
and that it did not involve
an intent to make money, and is not a
recurring payment (received in the past or expected in the
future).
- The
income will be reported on line 21 of your return.
To enter the expenses that were reimbursed:
- Go
to Less Common Income, Miscellaneous Income and Other reportable income
(enter "other reportable income" in the Search Box and Select
"Jump to other reportable income")
- Continue
to the screen "Other Taxable Income". Enter the description
as "TVL EXP" and the amount as a negative
number. These are NOT wages.
A corresponding negative amount will be entered, and
line 21 will be zero. See the attached screenshot example (different
descriptions, but still offsetting).
