topic Taxable Grant in Get your taxes done using TurboTax

Taxable Grant

sw-pa-farmer — Thu, 13 Feb 2020 16:22:06 GMT

Using the step by step interview, I entered an amount for a taxable grant (USDA) that I received. The amount appears on the Form 1040 worksheet, Schedule 1 (Additional Income and Adjustments) , under #8(Other Income) on the left hand side, but did not carry forward to the right hand column. I had to overwrite the right hand column so that the amount would appear on Schedule 1. There were no questions in the step by step interview that I did not answer. I think this is a flaw in the working of TurboTax.

Re: Taxable Grant

LeonardS — Thu, 13 Feb 2020 16:39:24 GMT

These steps will correctly enter your USDA Grant using TurboTax.

To enter your USDA Grant follow these steps.

With TurboTax open select  Wages & Income click on I'll choose what I work on
Scroll down to Less Common Income and select Miscellaneous Income, 1099-A, 1099-C
On the next page, select Other reportable income
On the page, Other Taxable Income enter USDA Grant in the description.

 This will put the income on Schedule 1 Line 8 of your Form 1040, as required by the IRS.  You will pay state and federal income tax on the amount, but it will not be subject to self-employment tax.

Re: Taxable Grant

sw-pa-farmer — Sun, 16 Feb 2020 13:40:39 GMT

It is a 1099G. I entered it under “Other Common Income” – “ Other 1099G Income” – which is where I had entered this type of income previously (and it worked as expected).