1099 misc

[janeteliz]

Received a 1099 misc. for money received from participating in a clinical trial. The amount was put in Box 6 (medical payments) . This is generating a Schedule C.  I am not self employed or part of their business. I do not have any business code or accounting method. Can I delete this schedule C?

[MinhT1]

If you receive a Form 1099-MISC for participating in a clinical trial, then you aren't considered ‌self-employed and don't need to file a Schedule C.

In TurboTax Online, enter your form 1099-MISC by following these steps:

1. Open your tax return
2. Click Federal in the left-hand column then on Wages & Income
3. Locate the section Other Common Income and click on the down arrow on the right
4. Click Start next to Form 1099-MISC
5. Follow the interview until you arrive at the page titled Did this involve an intent to earn money?. Answer that this didn't involve an intent to earn money. The amount will be reported as Miscellaneous income and won't be subject to Self-employment tax.

In TurboTax, there's a work-around. Although you may receive this income every year, say that you only received the 1099-MISC in 2023, not in previous years and not in 2024, you will then have the screen where you can say that it didn't involve an intent to earn money.