Can I file with an override on my se adjustment worksheet?

markmckown · ‎June 6, 2019

Two sch C. One is self employment and one is royalties. SE worksheet is combining both. This is incorrect.

IsabellaG · ‎June 6, 2019

If your royalties are for Mineral Rights, they should be reported on Schedule E, for Rentals and Royalties, and you won't be subject to SE tax. If your royalties were payment for intellectual property that you created, such as music royalties or book royalties, then they would be reported on Schedule C, and you'd pay SE tax on them.

Go back to your 1099-MISC for the royalties and make sure that you entered it properly. The income should have been reported in Box 2.

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View solution in original post

IsabellaG · ‎June 6, 2019

If your royalties are for Mineral Rights, they should be reported on Schedule E, for Rentals and Royalties, and you won't be subject to SE tax. If your royalties were payment for intellectual property that you created, such as music royalties or book royalties, then they would be reported on Schedule C, and you'd pay SE tax on them.

Go back to your 1099-MISC for the royalties and make sure that you entered it properly. The income should have been reported in Box 2.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"

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Can I file with an override on my se adjustment worksheet?