Why is the system keep telling me that 1099-NEC that I won in a settlement, there is not enough information. This amount was for pain and suffering

I am paying taxes on a larger amount, but no Federal on the 1099-NEC. Maybe it just needs to be recorded?

posted

If you are asking how to report 1099-NEC for settlement, here are the steps:

In TurboTax online,

Sign into your account, select Pick up where you left off
From the upper right menu, select Search and type in 1099nec and Enter
Select the Jump to 1099nec
Follow prompts
On screen, " Does one of these uncommon situations apply? select "lawsuit settlement" and Continue

This amount will show on line 8 of your Form 1040, carried over from Schedule 1.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"