My husband received two 1099-Misc forms. The amounts on each form are filled in box #7. He is not self employed-the money was given to him for referrals to their company.

Forum|Forum|7 years ago
June 1, 2019
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TerryA

Level 8

To prevent those $$ from being considered self-employment income, answer the questions you are presented as if the $$ are not self-employment income. For instance, in the Deluxe version there is a screen titled, Does one of these uncommon situations apply? and there is a choice for This was a commission, bonus, prize, award, etc. Click on that one (it's a prize or award is the big clue that this is not self-employment income). Also, on a subsequent screen, click on No, it didn't involve work like <name's> main job.

You get the idea 🙂

tielledicaprioAuthor

Level 2

Thank you for your quick response! When I proceed that way through turbotax it asks me a question "if that actions was done with the intent of making money". Making referrals to a different company than the one he works for isn't a hobby so yes he makes the referrals hoping that the customer will choose the company he is referring them to and then he will receive a sum of money for that. It isn't part of his job. I just need to know if that money is seen as self employed money through the eyes of the IRS. Sorry! This is all very confusing! If he is taxed on that money as self-employed money then we would owe this year as opposed to just breaking even so I really want to make sure we are doing the correct thing here.