If you received a W-2, use the following steps to enter your housing allowance.
If you're not already on
the W-2 entry screen, open your return. (To do this, sign in to TurboTax and
select the Take me to my return button.) Then search for
"W-2" or "W2" (lower-case also works) and select the
"Jump to" link in the search results. Follow the instructions to import
or manually enter your W-2.
1.
When you get to Box 14, enter CLERGY HOUSING, followed by
the amount. We’ll automatically classify the allowance as Other -
not on the list above. select Continue. (The amount might be
reported to you in a letter from the church or in your employment contract if
not on your W2.)
2.
If you get additional screens, answer those questions.
3.
When you reach the Do any of these uncommon situations
apply to this W-2? screen, check the 4th box for Religious
employment, then select Continue.
4.
On the following screen, choose You earned this income
for clergy employment and select Continue.
5.
Enter your allowance on the Tell Us About your Clergy Housing
screen. For Qualifying Expenses, enter the lesser of:
o Your qualified housing
expenses;
o The fair rental value of
your housing expenses; or
o Your housing or
parsonage allowance. (Housing allowance – qualifying expenses = taxable income)
6.
Select Continue, and on the Clergy
Self-Employment Tax screen, choose the appropriate option and Continue
again.
If you received a 1099-MISC, follow these steps:
1.
When in your account, select the Take Me to My Return
button on the main screen.
2.
Search for business code and then click the "Jump
to" link in the search results.
3.
Answer Yes when asked if you want to work on or set up
your business (you may need to upgrade to Self Employed/Home &
Business).
o If you land on the Business
Summary screen, click Edit next to your clergy entry or Add
Another Business if you haven't yet set it up.
4.
Continue with the questions, and when you get to the business
code screen, enter 813000.
5.
Keep answering the questions, and eventually you'll get to the Clergy
and Recognized Religious Sects screen.
o Make sure the first
option is selected (that you need to pay self-employment) and then click Continue.
6.
On the next screen, you'll be able to enter your parsonage or
housing allowance amount.
