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Not applicable
posted Apr 2, 2023 7:31:33 PM

Instructions say that TurboTax will not ask you to enter 1099-K anywhere, but it does. Now I'm confused on how to report my rental income: 1099k or cash checks elec pay.

Which is the right way to report this rental income? 1099-k or "Cash, checks, and electronic payments"?

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2 Replies
Expert Alumni
Apr 2, 2023 7:47:30 PM

If the rental income was reported on Form 1099-K, yes, enter it under Income  in the Rental and Royalties section. 

 

I'm not sure what you mean by, "TurboTax will not ask you to enter 1099-K anywhere, "but there is no specific question that the software will ask to make you enter the 1099-K, and in  some situations the 1099-K is not needed and needn't be entered. 

 

 

 

Not applicable
Apr 7, 2023 9:11:50 AM

Thanks for the response, and I think that I figured it out now. Part of my confusion was that I was actually asked to enter my 1099-k in part of the onboarding flow. Later, when I was working on rental income, all of that 1099-k was allocated to a single property. As I looked for help, I saw the following statement in the FAQ which was a contradiction from what I experienced:
"Because Form 1099-K can be used for so many different situations and types of payments, you don't enter the Form 1099-K directly anywhere in TurboTax. It's simply a form that reports payments, which may or may not be income, and which may be associated with any type of business, hobby, or other income-generating activity."

I removed that 1099-k entry, and simply allocated the income to each property.

Thanks again!