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New Member
posted Apr 1, 2025 7:04:48 AM

I received a 1099-MISC for compensation from my main employer for a "vehicle allowance". Turbo Tax is forcing this into self employment (schedule C). I'm not self employ.

By turbo tax going to the self employed section, it is asking a lot of unrelated questions. The amount on the 1099-MISC is just compensation as part of my employee agreement. I get the same amount every year, but this is the first time my company used a 1099

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1 Replies
Expert Alumni
Apr 1, 2025 7:12:33 AM

You should never receive a 1099 from your employer.  All taxable compensation and reimbursements should be included on a W-2.  You should contact your employer to get a corrected W-2.  A 1099-Misc or 1099-NEC is for NON employees.  


If your employer will not correct this, you will need to enter your income by selecting the following:

 

  • Income
  • Show More next to Less Common Income
  • Start next to Misc Income
  • Start next Other income not already reported on a form W-2 or Form 1099
  • YEs to did you receive any other wages
  • Continue through to did you earn any other wages and answer yes
  • Select employee compensation that was not reported on a W-2
  • Hit continue
  • Report your wages and select I received a 1099-Misc for this income use reason code H

You will have to pay your share of the FICA taxes on this amount.

 

Myths About Misclassification