To be clear; I meant adding negative number in the 'miscellaneous income'. Basically negate the amount in 1099-NEC to make net zero.
Think you saying:
- Enter 1099-NEC as it is.
- Enter a negative amount in a 1099-MISC (they both cancel each other and no taxable income. Done)
I could also enter an expense for the amount (deduct the 1099-NEC) but that subject to passive loss rules etc (still less than $25k loss limit)
I like your approach. Its more simpler.
One thing I want to call out is the rental property is under Single Owner LLC. (dont think it makes a difference here as I still use Schedule E)
