topic 1099-NEC For Church Service but no small business in Deductions & credits

1099-NEC For Church Service but no small business

rdigges — Mon, 09 Mar 2026 09:01:15 GMT

Hi,

I recently started at a church that pays when I serve in the church band. Received a 1099-NEC but when I enter it in the business income section it prompts me to describe my business to which I enter, "band member for Sunday church services". Then it prompts me for info about my business. I don't have a business though. How should proceed with entering this additional income correctly? Thanks.

Re: 1099-NEC For Church Service but no small business

Critter-3 — Sat, 05 Mar 2022 22:50:32 GMT

Technically since you're self-employed you do have your own business so just complete the information as you can there are no wrong answers.

Re: 1099-NEC For Church Service but no small business

rdigges — Sun, 06 Mar 2022 02:42:18 GMT

Ok thanks. I guess it doesn't matter that this isn't my main job. I usually play twice a month.

Re: 1099-NEC For Church Service but no small business

rdigges — Mon, 07 Mar 2022 02:51:36 GMT

Another followup, in the 1099-NEC section should this type of activity be marked as a hobby activity vs having to input business information?

Re: 1099-NEC For Church Service but no small business

AliciaP1 — Mon, 07 Mar 2022 03:12:28 GMT

You can claim it as hobby income, but you cannot deduct any applicable expenses you may incur.

If you report you are self-employed, even as a side-job, you are eligible to deduct business expenses.

You can see What self-employed expenses can I deduct? to help identify potential deductions.

@rdigges

Re: 1099-NEC For Church Service but no small business

rdigges — Mon, 07 Mar 2022 03:16:35 GMT

Ok, If I go the route of not using hobby income but I don't have a business set up. Am I just using my personal info in the business sections?

@AliciaP1

Re: 1099-NEC For Church Service but no small business

AliciaP1 — Mon, 07 Mar 2022 03:27:04 GMT

Yes, that is the correct information to use for reporting.

Re: 1099-NEC For Church Service but no small business

rdigges — Wed, 09 Mar 2022 04:27:19 GMT

I believe I have filled it out correctly. I selected when prompted for a business code I used the "9999999" code for miscellaneous and selected "cash method" as my accounting method. Also, selected "No' to playing an active role in the business (I don't think I serve over 500 hours a year) and "no" for qualified business income. Hopefully, I am not missing anything.

@AliciaP1 thanks again for the help

Re: 1099-NEC For Church Service but no small business

Critter-3 — Wed, 09 Mar 2022 11:39:26 GMT

If you are filing a Sch C as a sole proprietor and you are the only worker then selected "YES" to playing an active role in the business since it didn't run itself.