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AMWLeesh
New Member

1099 nonemployee compensation includes travel & lodging stipend, but shouldn't this be excluded from taxable income?

For a job I did as a contractor, I received a fee sheet specifying compensation, travel stipend, and housing stipend separately. On my 1099-MISC, these are all combined in box 7. Nonemployee Compensation. For my regular W2 work, I do not think stipends of this nature are taxable. Is this true for 1099 work? If so, is there a way for me to account for this within TurboTax?

1 Best answer

Accepted Solutions
Hal_Al
Level 15

1099 nonemployee compensation includes travel & lodging stipend, but shouldn't this be excluded from taxable income?

The "stipends" are reportable as income, on your Schedule C. But, you then get to deduct your actual expense (also on Schedule C) to determine your net taxable income. 

The 1099-Misc is correct.

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3 Replies
Hal_Al
Level 15

1099 nonemployee compensation includes travel & lodging stipend, but shouldn't this be excluded from taxable income?

The "stipends" are reportable as income, on your Schedule C. But, you then get to deduct your actual expense (also on Schedule C) to determine your net taxable income. 

The 1099-Misc is correct.

AMWLeesh
New Member

1099 nonemployee compensation includes travel & lodging stipend, but shouldn't this be excluded from taxable income?

Thanks so much! Just to be certain, for lodging I can deduct either my actual expense or the standard lodging allowance for that city, right?
Hal_Al
Level 15

1099 nonemployee compensation includes travel & lodging stipend, but shouldn't this be excluded from taxable income?

There is standard allowance for meals, which you can use, bu not lodging (that I'm aware of)
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