topic How to enter 1099-MISC for Rare Disease Clinical Trial ( software version Turbotax Premier)? in Get your taxes done using TurboTax

How to enter 1099-MISC for Rare Disease Clinical Trial ( software version Turbotax Premier)?

jrbarendt — Mon, 03 Jun 2019 17:41:34 GMT

Income for participating in a clinical trial or medical s...

TeresaM — Mon, 03 Jun 2019 17:41:36 GMT

Income for participating in a clinical trial or medical study is taxable. If the activity is infrequent, the income will not be self-employment income.

This means is that it is subject to income taxes, but not subject to self-employment tax. It also will not qualify toward the earned income tax credit or any other tax benefit that is dependent on earned income.

If you did receive a Form 1099-MISC , it is entered under the Wages and Income tab

Check for More Income and See All Income
Click on Show More then Start beside Other Common Income by the icon of the green money bag
Click onStart by Form 1099-MISC.
Enter Form 1099-MISC information. Make sure you enter the amount in Block 3
under source of other income, select "other income"
"none of the above, show me other options"
[You] were in a research study and this was payment,
you did not perform a service to earn the money.

If you did not receive a Form 1099-MISC, you will still enter it under Wages and Income but

Scroll down to Less Common Income, by the gold dollar sign icon
Click on See More and Start beside Miscellaneous Income
Scroll down and click on Other Reportable Income
Enter the amount and a description there.

Re: Income for participating in a clinical trial or medical s...

mommyjpg — Thu, 12 Mar 2020 02:27:42 GMT

What if the person receiving the income for the trial is 15 years old and a dependent of the parents' tax return? Can the 1099-misc be added to the parents' return or do they need to file their own?

Re: Income for participating in a clinical trial or medical s...

DMarkM1 — Thu, 12 Mar 2020 14:46:57 GMT

The income would need to be reported on the child's tax return. See this link for helpful instructions. Be sure the child selects the box "Can be claimed as a dependent on some else's return."