My wife has income from box 7 on her W2 that's listed as nonemployee compensation. In turbo tax, box 7 is soc sec tips. Is box 7 where this goes?

[rjs · Accepted solution]

Nonemployee compensation is box 7 on Form 1099-MISC, not on a W-2. Look carefully at the form that your wife received. Does it say W-2 or does it say 1099-MISC? You cannot enter a 1099-MISC as if it's a W-2.

To enter a Form 1099-MISC in the CD/Download TurboTax software, enter "1099-misc" (without the quotes) in the Find box. Then click the link that says "Jump to 1099-misc."

Nonemployee compensation in box 7 of a 1099-MISC is self-employment income. It is reported as business income on your tax return, on Schedule C. Whoever your wife worked for treated her as an independent contractor, not as an employee.