2025 1099-NEC "Needs Review" on Turbotax

[user17749681377]

Just updated TurboTax on-line to include (2) 1099-NECs.  On each of the NECs, Box #1 and #7 have an amount.  Box 6 states the specific state.  On TurboTax, I have filled in the applicable information - but for some reason, it states "Needs Review".  Any help would be most appreciated.

[MonikaK1]

Boxes 5, 6, and 7 of Form 1099-NEC are related and TurboTax will look for entries in the other boxes if there is an entry in once box. Box 5 of the 1099-NEC may be blank even if Boxes 6 and 7 have entries, if no state income tax was withheld. If Box 5 (State tax withheld) is zero or empty, the state information in Boxes 6 and 7 is generally not required. If there is no withholding on your form, and the program is "stuck" at this step, see if removing the entries in Boxes 6 and 7 resolves the issue.

If you have already addressed all of the areas of your return for which Review asked for more information or corrections, you have checked your Internet connection, and the program is not progressing to the next step, try the following steps: 

• Try exiting TurboTax, restarting your device and starting TurboTax again.
• Try using a different browser. Chrome usually works well.
• Try clearing your cache and cookies.  

[user17749681377]

Unfortunately, this has not resolved my problem ....

[RobertB4444]

So if you deleted boxes 6 and 7 from the 1099-NEC and the system still says that it "needs review" then delete the 1099-NEC entirely and then re-enter it but this time do not enter anything in boxes 6 or 7.  That way the system will not think that any of the state information is relevant.

[user17749681377]

I deleted the 2 NECs entirely.  I re-entered amount in Box 1.  

Under Box 4, there are 2 options:

*. I have made direct sales totaling $5000 or more of consumer products to recipient for resale

* My form has information in boxes 5-7

1.  If I don't choose either option (from above) and "continue" - I still get "Needs Review"

2.  If I choose "* My form has information in boxes 5-7" and leave these boxes blank, I still get "Needs Review"

Unfortunately, , the "needs review" problem persists ....

[ppu21998]

There are no cache or cookies to clear on desktop version. Still says "Needs Review".

[CesarJ]

The TurboTax desktop software itself does not have an option to clear cookies or cache because it runs locally on your computer and does not use a web browser cache like the online version.

If you experience issues, the best troubleshooting step is to restart the TurboTax desktop application and your computer. You may also try reinstalling the software if problems persist.

Clearing browser cookies and cache applies only to the online TurboTax product accessed through a web browser, not the desktop version.

For entering and reviewing your 1099-NEC in TurboTax Desktop, the "Needs Review" message often indicates missing or inconsistent information.

To address this:
1. Go to the Wages & Income section.
2. Find the area for Self-Employment Income or specifically 1099-NEC.
3. Select Start or Update next to Business Income and Expense (Schedule C).
4. Carefully review your entries for any missing amounts, incorrect payer information, or mismatched totals.
5. Confirm you have correctly entered all forms received.

Make sure all fields match your 1099-NEC exactly, including payer details and amounts. Inconsistent data causes "Needs Review" status.

@ppu21998 

[user17749681377]

Thank you again for the response.  I have re-confirmed all inputs.  I did a "Smart Check" and I got an error:  

"Schedule C (Design):  QBI At Risk Op Loss must be entered"

Honestly, I have no idea what this is ....

[user17749681377]

Furthermore, I am still getting a "Needs Review"upon completing 1099-NEC inputs

[DianeW777]

The 'QBI At Risk Op Loss must be entered' may likely be referring to the qualified business income (QBI) question that is necessary to be answered in your Schedule C and to complete your return accurately.  It seems you do not have any QBI losses to carry over or you would know. If you want you can check last year's return for Form 8995 to see if there are any QBI loss carryovers. 

If you are using TurboTax Desktop or TurboTax Online you can use the steps below:

1. Search function in the upper right and type Schedule C. Click on the Jump to.. link
2. This will bring you to the screen 'Here's the business info' > Scroll to Business Summary > Edit beside 'Your Business Info'
3. Scroll to 'Other situations > Edit > Make sure the answer is 'Yes' under Actively participated in this work - If Not Edit to answer the questions which should be 'no' if you do all the work for this activity.
4. Select Edit beside your business and then scroll to Business Expenses, Assets, etc. to begin your entry.
5. Any QBI loss carryovers, if applicable. will be under Uncommon Situations > Edit beside 'Unused expenses, carry overs, non-depreciable assets, etc.'

• How do I report self employment income?
• Where do I enter my self employment business expenses

@user17749681377