Here is a thought? What if I report the 1099-Misc and have the system generate the Self Employed Income Schedule C. Then, go into Sch C "Other Expenses" and report the same amount as an expense and manually write next to it, "Transfer to Sch E as Rental Income". Then, go to Sch E Rental income and increase the gross rents to reflect the 1099 portion that was reported as Box 3?
