raviolio
New Member

Per Pub 517, ministerial expenses are only allowable Sched C deductions up to the percentage of my taxable income. How do I figure this in TurboTax? It doesn't address it

In IRS Pub 517, there are three worksheets to help figure my allowable ministerial deductions. 

1. Figuring the Percentage of Tax-Free Income

2. Figuring the Allowable Deduction for Schedule C Expenses**This is the important one I can't figure out how to address.

3. Figuring Net Self-Employment Income for Schedule SE (Form 1040)

Doing this shifts my nondeductible Schedule C expenses by about $2,000. However, I cannot find anywhere in TurboTax that addresses this required calculation/adjustment.

On some forum, I read that you can "override" Sched C line 28 to enter the correct figure, so I tried that, but now TurboTax keeps insisting it is an error and won't let me complete my taxes.

I am trying to be honest with my taxes, as this benefits the government, not me. Please help.

(I quit using TurboTax several years ago because of all my frustrations with trying to figure out how to do clergy taxes, and went to a private CPA who showed me how to do it all correctly. But the $400 price is so steep I decided to return to TurboTax this year since I thought I knew what I was doing...but apparently this program is more strong-willed than I!)