Were taxes withheld from this payout? If so, the employer should have reported this income on a W-2. You may wish to contact your employer to have this oversight corrected. If no taxes were withheld, enter by following the instructions below.
To enter the 1099-MISC as other income, begin with Wages & Income >> 1099-MISC and Other Common Income >> Income from Form 1099-MISC. Note that you will be taxed on the income reported in this section.
- Add the employer and income information from the 1099-MISC.
- Enter "Sick Accrual Payout" as the reason.
- Under "Does one of these uncommon situations apply?" check the box for "None of these apply."
- Answer "Did the Sick Accrual Payout involve work that's like your main job?" as "No...".
- If you have not received this type of payout in prior years, check the box for "Taxpayer got it in 2022."
- This payout was for benefits, so answer "No, it didn't involve an intent to earn money."
- Continue back to the 1099 menu.
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
