Retirement tax questions

You will receive a Form 1099-K from each payment settlement entity from which you received payments in settlement of reportable payment transactions.  A reportable payment transaction is defined as a payment card transaction or a third-party network transaction. You received a Form 1099-K because a third party payment processor paid $600 or more to you in the previous calendar year.

The income received on Form 1099-K should be included in the gross receipts of the taxpayer's business income. For a sole proprietor, Form 1099-K receipts are reported on Schedule C.  For a partnership or corporation the income is reported as part of the company's gross revenue.

1. Open or continue your return
2. Search for Schedule C and select the Jump to link in the search results
3. Answer the questions about your business. On the Let's enter the income for your work screen, select Other self-employed income
   • If you’re returning to Schedule C, select Review or Edit next to your work and then answer the questions about your business
4. On the Tell us about other self-employed income for your work screen, enter your 1099-K info
5. Select Continue when finished

If you are entering income from a 1099-K, remember the 1099-K just reflects gross income and does not include any of your business expenses.  You’ll have a chance to enter self-employment expenses in another part of your return.

Here is a link to a TurboTax article that discusses how to enter 1099-K information into TurboTax.  Also included below is a link to an IRS webpage that discusses Form 1099-K.  You might find this information helpful.

How To Enter a 1099-K into TurboTax 

Understanding Form 1099-K