I received a 1099-NEC for reimbursement for a conference travel. In order to claim expenses, Turbo treated this as Business income on schedule C. Is there any other way to offset this income with expenses without a schedule C?
Yes. The IRS does not allow you to net the amount reported on Form 1099-NEC.
To deduct expenses, you must report the travel reimbursement as a “business.” If your actual expenses were less than or equal to your reimbursement then you will not have any additional income as a result of receiving the 1099-NEC.
No. A 1099-NEC can be classified as Other Income or Self-employment income. If it is entered as Other Income, you will not be able to deduct any expenses that relate to your 1099-NEC income.
If you would like to enter this as Other Income, please follow the instructions below:
But this is reimbursement for actual expenses occurred. It is reported in Box 1 (Non-employee compensation) of 1099-NEC. So I have to report this as business income and use Schedule C to offset this income, right?
Yes. The IRS does not allow you to net the amount reported on Form 1099-NEC.
To deduct expenses, you must report the travel reimbursement as a “business.” If your actual expenses were less than or equal to your reimbursement then you will not have any additional income as a result of receiving the 1099-NEC.