Yes, the amount reported to you, as a beneficiary, on Form 1099-MISC, Box 3, is reported as Other Income on Form 1040, Line 21. It is not considered self employment income so no Schedule C is required for reporting.
Often, 1099-MISC income reported in Box 3 is for other income (not received for services) such as those received as a beneficiary of a deceased employee, prizes, awards, taxable damages, Indian gaming profits, or payments from a former employer because you are serving in the Armed Forces or the National Guard for a period of 30 or fewer days..
To correctly
report
in TurboTax follow these steps:
- Sign in to your TurboTax account
- Click on Take me to my tax return (orange button)
- Click Federal Taxes tab
- Click on Wages & Income Tab
- Scroll down to Other Common Income
- Click Show More and click Start to right of Form 1099-MISC
- Enter amount from your 1099-MISC into Box 3
Once you delete the Form 1099-MISC entry (if you haven't already) from the Self Employment section under Federal Taxes, Wages & Income the Schedule C will be removed.
