1099-NEC

[kayemgee]

My spouse and I coached club volleyball. The organization gave us 1099-NEC documents, but we are not small business owners, we simply coached the team. How do I delete the Schedule C that automatically populates as a result of TurboTax thinking we are business owners?

[DawnC]

You need the Schedule C.   For tax purposes, you are the business owner.   Am I self-employed?    Don't delete it, you can use your home address for the business address and no EIN is required.   You are entering the 1099-NEC correctly.   

[kayemgee]

Thank you. When TurboTax says to name the business, I put "coaching". Should I list it as one single business for my husband and I, or two separate businesses?

[AnnetteB6]

For the business name, use your own name unless you are operating a business under a particular name.  'Coaching' would be the type of business or work instead of the name.

If you both received Form 1099-NEC, enter two separate businesses (two separate Schedule C).  

@kayemgee 

[kayemgee]

Thank you! For the PA State Return, this is where I get confused. It asks me to enter "Method of accounting: Accrual, Cash, or Other". But since we don't actually own a business and didn't do any accounting, what should be entered here?

[Vanessa A]

If you just keep track of your income as you get it and spend it, then you would select Cash accounting method.  This is the most common method of accounting.  And since, you say you didn't do anything accounting, this would be the method you would select.  Accrual accounting would require you to count the income when you earn it instead of when you receive it.  This is not a typical method of accounting for individuals. 

[kayemgee]

Thank you! For Method of Inventory, would it be Cost, Lower of cost or market, or Other?

[Vanessa A]

If you are volleyball coaches, you would not likely have an inventory.  So you could skip this question.  However, if you do carry an inventory and count it as you buy it, then it would be cost.