How can I report 1099-NEC income properly as survivor income, not subject to self-employment taxes? My mother received insurance commissions earned by my late father.

My father passed away in 2014. My mother has been receiving his commissions since then as his survivor. CPA I hired for 2023 tax return advised income earned by someone else is not subject to self-employment tax by the survivor.

1049

Expert Alumni

Apr 9, 2025 11:48:00 AM

It is not business income so let's go through the steps. Online and desktop have a little difference but this should get you through either one.

Open your return to the federal income section
Select income from Form 1099-NEC
Enter the information from your form
Continue
Describe the reason
Continue
Does one of these uncommon situations apply?
Select not earned, sporadic, hobby - the screenshots different -
- online, select hobby
- desktop chooses sporadic
Continue
See the NEC summary
Done

I am very sorry for your loss.

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How can I report 1099-NEC income properly as survivor income, not subject to self-employment taxes? My mother received insurance commissions earned by my late father.