My daughter received a 1099-Misc from one of her employers. Once I inputted the data from this form, it comes up like she owned her own business and saying she owes tax.

[johnsjuts]

My daughter worked for a company that sold apparel at dance competitions.  She did not own a company.  She earned $3000 and she received a 1099-Misc and once I imputed the data from the 1099, it made it look like she had a company and she owes a bunch of taxes.  How do I handle this?

[ErinS · Accepted solution]

Hi johnsjuts,

TurboTax Deluxe will help you and your daughter file the 1099-MISC income, but if no taxes were taken out of her pay, then there is a chance you will owe.  

If there are no itemizations or business expenses associated with her work, then you do not need a Schedule C (which is the most common "business" tax schedule).  You can continue to file with Deluxe for the miscellaneous income (which is technically considered self-employment income by the IRS).  Hope that helps!

Best,

TTerinS