turbotax icon
cancel
Showing results for 
Search instead for 
Did you mean: 
Close icon
Do you have a TurboTax Online account?

We'll help you get started or pick up where you left off.

1099-MISC

I receive a 1099-MISC for legal services that are provided by the UAW. For some reason the 2020 Turbo Tax Deluxe wants to count it as business income and wants me to file a Schedule C form. I have not had to do this in previous years. Why is this being counted as business income when that is not what this is?

x
Do you have an Intuit account?

Do you have an Intuit account?

You'll need to sign in or create an account to connect with an expert.

2 Replies
ToddL99
Expert Alumni

1099-MISC

There is more than one way to enter a 1099-MISC, and the following steps will help you avoid getting "pushed" into the business income category because of your 1099-MISC.

 
If the 1099-MISC reports income that is not related to self-employment, enter the information as follows in the 1099-MISC interview:  

  • Type "1099 misc" in the search window 

  • Click on "jump to 1099 misc" 

  • Enter the information from your Form 1099-MISC, and click on Continue 

  • Enter a description (UAW Legal Benefit?) and click on Continue 

  • On the screen with "Does one of these uncommon situations apply?", indicate "None of these apply" 

  • Answer "No..." to "Did the "UAW Legal Benefit" involve work that's like your main job?" (you did not get this benefit from 'working', you got it as a consequence of union membership)

  • Answer "I got it in 2020" when asked "How often did you get income for "UAW Legal Benefit" ?"  (yes, you got it before and will get it again, but this is how you must answer the question to avoid looking like you have a business)

  • Answer "No, it didn't involve an intent to earn money." 

 

The amount will be reported on line 8 of Schedule 1 (Form 1040). 

 

1099-MISC

Thank you!! I will try your suggestions.

Unlock tailored help options in your account.

message box icon

Get more help

Ask questions and learn more about your taxes and finances.

Post your Question