I get a 1099-MISC for free legal services my employer gives us (I'm retired) that amounts to under $25. Legal services says we don't need to file a Sched C because it is a "fringe benefit" and the IRS classifies it this way since 1992. Here is what they said.
IRS Box 3 instructions state that miscellaneous income goes on the “Other income” line of Schedule 1 for those using Form 1040 or Form 1040NR.
The instructions for Form 1099 NEC Box 1 do not apply.
You don’t have to file a Schedule C with your tax return because the 1099 reported amount is not self-employment income.
When I do turbo tax it ask me all of the questions as if it is self employment and makes me do a schedule C. If I skip those steps next year, will Turbo Tax still let me e-file or will it keeps asking me to correct my taxes before I file? I filled them out this year but I don't know if I filled them out correctly since it's not "income" per say. I hate having to pay the $30 extra to claim $24.
