How do I report the 1099 misc rental income under the 14 day exclusion rule in Turbo tax ?

[PaulaM]

First, enter the 1099-MISC for the 14 days or less rental in the Less Common Income section, Miscellaneous income, Other Reportable Income. Enter a description, '14 day rental exclusion' and the amount.

Second, repeat the steps but for the amount, enter as a negative number. In effect, you have cancelled the income amount.

The two entries will show on line 21 of your 1040, but a taxable amount of zero.

[eiermanma]

I can't find how to do this in Turbo Tax 2022.  Under other taxable income it says do not enter information from a 1099 MISC.  Any help would be appreciated.  Thanks

[AnnetteB6]

If you are trying to report rental income for your primary residence that was less than 15 days, use the following steps:

• Go to Federal
• Then to Wages & Income
• Next scroll to Less Common Income
• In this category, find Miscellaneous Income, 1099-A, 1099-C
• Then scroll to Other Reportable Income
• Next find Other Taxable Income
• Enter a description for the income reported on your Form 1099-MISC and the income amount

Repeat the steps above to enter a negative income amount, thus reporting the income and then subtracting it on the same line.  

You will not be entering all of the other details from Form 1099-MISC, but the income reported to you will be included as part of your tax return in the event that the IRS ever questions you about it.

@eiermanma 

[jimbobiii]

Hi Annette,

I too have this situation. The challenge seems to be that by doing this, it will force me to file by mail due to using a negative value in that field.

Is that correct? I now must file by mail?

J

[MarilynG1]

No, you will still be able to Efile.  When you enter the negative entry, use a description like 'adjustment for rental exclusion income '.

Here's more info on the 14-Day Rule. 

@jimbobiii 

[Meerkamp]

I have the same issue. Doesn't allow me to efile as long as there is a negative number as income to cancel out the rental income under the 14 day rule. Help ?

[PatriciaV]

Is the amount on Schedule 1 Line 8Z also negative? Or is that line a zero?

If this is the only "Other Income" you have entered, and the offset you enter is the same amount as the income, Line 8z should be zero, which will allow you to e-file. Be sure to use whole numbers and no decimals.