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Getting rid of self employment

i have a 1099-misc form, but i was not self employed. It is from a construction job. I did have expenses that i would like to be reimbursed for. Do i have to pay this 114 dollar self employment fee?
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1 Reply
Carl
Level 15

Getting rid of self employment

Based on your description of why you were paid the money (from a construction job), and assuming the income was reported in box 3 or 7 of the 1099-MISC, then as far as the IRS is concerned, it is self employment income and must be reported as such on a SCH C as a part of your personal tax return. By reporting it as such, you can then deduct your business expenses on the SCH C, from the taxable self-employment income.
Also note that if you know for an absolute fact that you will not be receiving a 1099-MISC for 2017 for the same type of work, or similar work, then it's important that as you work through the Business Income & Expenses (SCH C) section of the program, that you report your "business" as sold, closed or otherwise disposed of. If you do not do that on your 2016 tax return, then the IRS will assume you are also self employed for 2017 and will be expecting a SCH C from you next year, when you file your 2017 return.  If they are expecting a SCH C and don't get one, you will have issues with the IRS on your 2017 tax filing next year.
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