this is a new IRS form. currently there is no way to enter it. you'll have to wait for TT update. when you ask. TT has not announced the date as yet.
That's just great. Taxcut has it in ther program now (but they've got other issues, unfortunately).
Turbotax is an incomplete program and it will not be fully operational until sometime in January or February for some things like states. The program will undergo weekly updates as they complete sections ... this happens every year without exception.
ANY tax software released by any company prior to about January 15 is only released for marketing and market share. No program is complete and ready to file until the IRS approves their final forms and then individually reviews each program's implementation of the form. And some tax situations aren't able to be filed until February or March, again mostly due to IRS delays.
NOW ... can I give you a hint ... you NEVER need to enter in the 1099 in the Sch C section at all ... the program does this for your use only since the IRS only gets a total of your income on the Sch C not all the 1099 info you enter. Skip that screen and use the next one ...
That is what I am doing now. However, a new issue is that now Turbotax *does* have a place to add 1099-NEC (under Personal->Other Common Income).
However, if I do so, I have to add a *new* business for that 1099-NEC. There is no option to use an existing business (predefined, imported from previous years), which tracks various items like depreciation and home office.
I can only hope that Intuit eventually figures it out and fixes the problem.
@Anonymous - are you trying to estimate? then I would suggest using the 1099-MISC....all they did was peal off some information that used to appear on the 1099-MISC and put it on the 1099-NEC
if you are working with the downloaded version, the 1099-NEC is there.
I am using a downloaded program, and 099-NEC *is* there, as I posted above.
However, there is a bug in implementation.
Let's say you have an existing business set up in previous years, that is imported into this year's tax, and if that business until now was using 1099-MISC, and this year will receive 1099-NEC instead. When 1099-NEC is added (in "personal income"), Turbotax will only give an option to create a new business to attach that 1099-NEC to. The verbiage on that page suggests that there should be an option to select an existing business, but none of the existing business entities appear or can be selected.
If the business entity is used to track depreciation, or simply to compare YOY values - that won't work, as Turbotax forces user to create a new business to use 1099-NEC.
I hope they fix this soon.
On my end this is the first year when I am running Turbotax and HRBlock software side by side, and frankly HR Block is doing a better job so far (except for a single issue where Turbotax is ahead). HR software doesn't have this strange problem with 1099-NEC - simply lets me add that to an existing business, just like 1099-MISC.
I have the same issue. There has to be an option in the business section carried over for 2019 to add the 1099-NEC and not create a new business.
TT Home & Business won't import all of my previous years' 1099s either. I had 15 or so, and I need to keep 10 of them. I do NOT want to re-enter them all over again! And will the program recognize that they're now 1099-NEC instead of 1099-MISC? I have a horrible feeling it won't.
1099NEC you receive or ones you need to issue? I just installed my Home & Business program and it let me transfer 2019 1099Misc into the 1099NEC form to give to my sub contractor.
1099-NECs you receive. It doesn't roll the information over from previous year's 1099. In actually it looks like you have to create your business all over again.
i don't think TT has updated its software to handle 1099-NEC as of this date. this is a new form for 2020 that replaces 1099-MISC for nonemployee compensation. you can't enter nonemployee compensation on the 2020 1099-MISC.
You have to use the TT software for each specific year of returns you are wanting to open.
Yes, you will find the form in Forms Mode.
Click the Open Form button on the upper left side of the screen and then type "1099" in the search box. You should see a list of forms including the 1099-NEC Worksheet.
My 1099 NEC keeps getting flagged in my federal review. It then takes me to a Sched. C box that's empty and it says "double click...". Everything in my taxes is correct, but it won't get me pass this review. Turbo Taxes system is not prepared for the new 1099 NECs. Please advise on how to get around this or let me know when it's fixed.
Some TurboTax Online customers are getting the error below when attempting to link their Form 1099-NEC. If you are experiencing this issue, please sign up here for email updates as we are working on the issue. You will be notified by email when it has been resolved. @John H3
Check This Entry
Form 1099-NEC Worksheet (XXXXX): A link to Schedule C or another form is something we need to get your info in the right place.
The 1099-NEC is new this year - it replaces the 1099-MISC-Box 7 forms. All of the entries for the 1099-NEC are new in all software.
That is exactly what mine is doing. Please let me know if you figure anything out.
For the 1099-NEC, since the trouble is linking it to your Schedule C or another form, then please Sign Up here for email updates. TurboTax is working on this issue.
If you would rather enter it as other income for self-employment income and expenses, follow these steps:
- First, use the search for 1099-NEC and click the Jump to link.
- When you see Form 1099-NEC, click the Trash can Icon to delete it
- Next, re-enter the income by searching for schedule c and clicking the Jump to link
- Add income for this work as Other self-employed income and Continue
- Describe the Type of Income as Form 1099-NEC, including the EIN and business name, too.
- Enter the Amount and click Continue
- If there are no other adjustments, scroll down and select Done
- Follow through the rest of the interview and select Done with Income.
Form 1099-NEC is a new form for non-employee compensation that replaces what used to be reported on Form 1099-MISC, Box 7 in the past. For more details, see What is Form 1099-NEC?
I have received a 1099-NEC which includes payment for work performed, and re-imbursement for travel expenses.
How do I take care of this in my 2020 taxes (in turbotax) ?
That is for self employment. You enter the full 1099NEC as income on Schedule C. Then enter your expenses. You get taxed on the Net Profit.
You can enter Self Employment Income into Online Deluxe or Premier but if you have any expenses you will have to upgrade to the Self Employed version. Or use any of the Desktop CD/Download programs.
How to enter income from Self Employment
Enter Form 1099-NEC for work performed and re-imbursement for travel expenses in your self-employment income & expenses section.
To go there in TurboTax, follow these steps:
- From the left menu, select Federal, which will open to Income & Expenses.
- Scroll down to Self-employed income & expenses and Start/Edit/Add
- Add income for this line of work
- Select Form 1099-NEC, new IRS form for nonemployee compensation (replaces 1099-MISC)* and Continue
- Enter the form exactly as you received it
- Enter travel expenses in the expenses section to offset the income.
For an overview to this new form, see What is Form-NEC?
*Alternatively, it is allowable to enter Form 1099-NEC in the Other self-employed income, includes 1099-K, cash, and checks section.
When prompted for Type of income, include Form 1099-NEC, EIN, and Business Name of the Issuer.
Kathryn,
This does not work. When you enter the NEC-1099 information it prompts you to a review that asks you to "double click" in a schedule c line. I've done (along with many others) what you have suggested tens of times, but it's still being flagged. If you're connected with TurboTax employees, please advise when they have an actual solution to their software.
I have already paid you $120 dollars for filing, but I'm unable to file because of this problem on your end. What are the steps at getting reimbursed for my payment? I don't find it ethical to charge customers for a service that didn't work. Please advise.
See this FAQ
But actually you can just enter it as Other self employment income or as Cash or General income. You don't need to get a 1099NEC or 1099Misc or 1099K. Even if you did you can enter all your income as Cash. Only the total goes to schedule C.