Skip to main content
Level 2
February 13, 2026
Question

1099-misc

  • February 13, 2026
  • 1 reply
  • 0 views

I received a very small passive income payment, <$50, from a book I wrote years ago and it was reported on a 1099-misc as a Royalty (Box2).  I have not done any writing in about 5 years.  I am having a very hard time getting this passive income entered into Turbotax.  I've made several attempts by following the software instructions but still keep getting errors or flags.  It is the one thing keeping me from finishing the Federal return.

Does anyone have a similar experience and can provide some recommendations on how to get this completed?

I'm using Turbotax Premier, Desktop version, Windows, 2025 Tax Year

Thanks for your advice.

    1 reply

    KrisD15
    Level 15
    February 13, 2026

    You should be entering this as a Royalty Payment (not as a 1099-MISC "Other Income").

     

    • Wages & Income
    • Rental Properties and Royalties
    • START or UPDATE 
    • Continue

     

    On the "Is This a Rental Property or Royalty?" screen, select "Royalty property of payment"

    Use your address if applicable

    Select "Other Intangible" for Type

    Continue to finish entering the Royalty Profile

     

    DO NOT LEAVE THAT SECTION

     

    Select "Royalty Income"    START

    Select "Royalty income reported to you on Form(s) 1099-MISC"    START 

    Enter the 1099-MISC and finish the interview

     

    This should put the royalty (passive income) on Schedule E 

    Flows to Schedule 1

    Flows to your 1040 line 8

     

    The 1099-MISC is not entered anywhere else in the program. 

    **Say "Thanks" by clicking the thumb icon in a post. **Mark the post that answers your question by clicking on "Mark as Best Answer"
    Thomas139Author
    Level 2
    February 13, 2026

    Data entered as suggested and it goes to a schedule E. However page 2 section 4 shows the $ value in red and next to the forms list it has a red !.  The information does not flow to 1040 line 8.

    Thomas139Author
    Level 2
    February 13, 2026

    When I put 100% in the box next to the Total Royalties received the $'s flowed to schedule 1 and 1040 line 8.

    However, next to the list of forms schedule E still has a red !  So it seems like the schedule E might be missing some piece of information.

     

    Thanks for your information and have a great weekend.