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Level 2
March 16, 2021
Question

Should I have to pay when entering a 1099-MISC tax return for a prize earning? I don't see any place to enter it.

  • March 16, 2021
  • 3 replies
  • 24 views
I am not self-employed but it won't let me add my form unless it's self-employment income.

3 replies

RayW7
Level 12
March 16, 2021

You may or may not receive a 1099-MISC reporting the income. Regardless, this is how you should enter it in TurboTax:

  1. Click on Federal > Wages & Income  [In TT Self-Employed:  Personal > Personal Income].

  2. Scroll down to the Other Common Income section and click on the Start/Update box next to Income from Form 1099-MISC.
  3. If you previously entered a 1099-MISC. in your return, you will be brought to the 1099-MISC Summary page.  Click on the Add Another 1099-MISC. box to add a new form [or Edit to change an existing form]. 
  4. If you haven't already entered a 1099-MISC, answer Yes to the question Did you get a 1099-MISC? (even if you didn't get one).
  5. On the Let's get the info from your 1099-MISC screen, complete the top part and then enter the award amount in Box 3 Other Income.
  6. Fill out any other boxes from your paper 1099-MISC (if you have one), then click Continue.
  7. Enter a reason for the 1099-MISC.
  8. On the screen, Does one of these uncommon situations apply? select This was money from a lawsuit settlement  and then answer the back wages question before clicking Continue
  9. Continue through the screens, entering the requested information. 

-follow this link for more information on prize winnings-

Everything You Need to Know About Filing Taxes on Winnings ...

tprimuthAuthor
Level 2
March 16, 2021

Is this something I can do with the free TT ? @RayW7 

RayW7
Level 12
March 16, 2021

Although you can start the filing in the free addition I do not believe you can file without upgrading.