Schedule C - where do I enter HOA fees as part of my self employed business?

[B_T007]

in the past, TurboTax prompted me to enter this information and it is not doing so this year. Where would I enter this expense? Also, I received a 1099 MISC for the cost of a credit card provided by my finacial firm - I pay the fee and then they reimburse me the amount. Is there any special way I should hande this item?

[DianeW777]

It depends.  If you are entering self employment income and expenses you will enter the expenses there.  If you are using a home office then HOA fees would be entered in that section.  As far as the 1099-MISC, you can simply enter the income as 'Other Income' without entering the 1099 itself, then enter the fee you repay as an expense.

• How do I report income from self employment?
• What self employment expenses can I deduct?
• Where do I enter the home office deduction for my business?

[B_T007]

Thank you so much for your quick response! Which category of expenses do i put it under? I don't see HOA fees listed in that section in TurboTax. Thank you in advance. 

[PatriciaV]

The HOA fees would be a miscellaneous business/rental expense. Depending on what version of TurboTax you are using, and which schedule is used, it may be called "Other Expenses" in the list of expenses. Enter a custom description and the amount.

[B_T007]

Thank you - with your help I was able to find the section and enter it correctly. I am now at question 32 on Schedule C and do not understand what to check since I had a "loss" - 32a or 32b. How do I decide the right box to check ?

[AmyC]

If you are talking about the boxes that ask if some or all of your investment is at risk, select the correct box. Is all of the money you invested in the business at risk and you lose it if you fail or is only some of the money you invested at risk and some belongs to other people? Only you can answer the question.

[B_T007]

Thank you for your response. I'm confused because I've never been asked this before as an independent, self-employed consultant. Since it is just me working, then all the "investment" would me mine if I am understanding you correctly

[DianeW777]

Yes, you understand it correctly.  When someone is self employed, and they are fully at risk for their investment, you should check the box 'All investment is at risk'.  Losses can be limited if you are not fully at risk for your investment in the business acitivity.

Examples of funds used that are not at risk: 

You are not considered at risk for any of the following. 

• Nonrecourse loans used to finance the activity, to acquire property used in the activity, or to acquire your interest in the activity (unless the nonrecourse loan is secured by your own property that is not used in the activity).
  • Another example: Funds from family members where a legal contract has not been established

@B_T007 

[Edited: 03/27/2024 | 7:29 AM PST]