How do I report Florida's First Responder Recognition Payment on my taxes?

[Meg B PSS Expert]

Steps 1-10 are the correct way to enter this form this year as those are taxable wages by FL regulations this year.

[Fderac]

Even though I received a 1099-NEC.

[Fderac]

Thanks it works

[Gibson844]

I have a client who received a 1099-NEC from State of Florida First Responder Payments Program in the amount of $1338.77 with federal withholding of $1338.77...hmm. My question is this is a one time thing and ProSeries wants you to check Schedule C or Schedule F which is neither and if I select Other Income then no SE tax...is that correct?

[Justme1]

I received the same. I reported it, and they issued a corrected 1099-NEC. $1,388 in income, and zero withholding for taxes.

[DaveF1006]

Yes, by selecting other income, there is no SE tax requirement.  There will be other qualifying information to enter such if you have the intent to make money. If you answer no to this, then there is no SE tax requirement as well. 

[samanthabaugus]

What government department did you get this from? We have moved and since government agencies never talk to each other, I suspect that it was sent to the wrong address (amusingly the check came to our new address but not the tax documentation). So I have to figure out who to contact. This is really proving more trouble than it is worth. 

Thanks. 

[Cnlance]

@DaveF1006 We received a 1099-NEC form and were told that this payment was taxable.  How do we file this form to correctly be taxed?

[Vanessa A]

To report your First Responder Recognition Payments as taxable income but not as self-employment select the following:

• Income
• Show More next to Less Common Income
• Start next to Misc Income
• Start next to Other Reportable Income
• Enter the amount of the money you received and the description.  

This will enter the income on line z of her Schedule 1 with a description which will then flow to line 8 of the 1040.  It will be taxed as ordinary income instead of self-employed income.  

[Cnlance]

@Vanessa A The option you described specifies not to include income from 1099-MISC. We were given 1099-NEC forms marked as Non-Employee Compensation. Is the process you described acceptable for 1099-NEC forms?

[Vanessa A]

Not entering the forms in that section is so income is entered where it belongs using the correct section.  In this situation, the only way to get the program to enter the income where it belongs is to take the steps I described above. Otherwise, if you enter the 1099-NEC it will be entered as self-employment income and will be taxed as such.  

[Justme1]

Go back to the beginning of this thread. The steps to report the 1099-NEC without it being self-employment, are outlined. It’s an1099-NEC. I personally would not report it as something else. I followed the steps and was able to accurately report it.

edited - it was a different thread. I cut and pasted it for you below.

To report this so it doesn't appear as a business, please do the following.

1. Sign in to your TurboTax account.
2. Click on Federal Taxes tab.
3. Choose Wages and Income.
4. Scroll down to Other Common Income
5. Select 1099 -NEC
6. Enter the 1099 NEC information'
7. Then it asks for the description of the income. Give it the proper description.
8. When you reach a page that says Does one of these uncommon situations apply? 
9. Select This is not money earned as an employee or self-employed individual, it is from a sporadic activity or hobby (this is not common).
10. This will then be taxed as common income and not business income.

[Jaxbuddy]

Not true. It’s taxable and the state paid 1300+ to cover the 300$ or so taxes to make it a true $1,000 bonus 

[vanettenco]

Thanks, this worked it saved me a ton of time.

[vanettenco]

thanks for further, I am going with your response