How do I adjust the amount in 1099-MISC when the amount is not taxable by the US, but rather to another country?

I received this amount as a one-time reimbursement for expenses while filming an episode of a US tv show in Denmark. I am a US citizen, but a resident of Denmark, and I believe the US/DK tax treaty (either Article 14 or 21) states that only Denmark has the right to tax this amount.

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1 Best answer

Expert Alumni

Mar 25, 2020 7:27:14 AM

You can enter the same amount as a negative number as an adjustment in Other Taxable Income. Please follow these steps:

Click on Federal > Wages & Income
In the Less Common Income section , click on the Start/Update box next to Miscellaneous Income, 1099-A, 1099-C.
On the Let's Work on Any Miscellaneous Income screen, click the Start/Update box next to Other reportable income.
On the screen, Any Other Taxable Income? click the Yes box.
On the next screen, Other Taxable Income, enter a description and the amount you entered for the 10999-MISC as a negative number Click Continue.

Expert Alumni

Mar 25, 2020 7:27:14 AM

You can enter the same amount as a negative number as an adjustment in Other Taxable Income. Please follow these steps:

Click on Federal > Wages & Income
In the Less Common Income section , click on the Start/Update box next to Miscellaneous Income, 1099-A, 1099-C.
On the Let's Work on Any Miscellaneous Income screen, click the Start/Update box next to Other reportable income.
On the screen, Any Other Taxable Income? click the Yes box.
On the next screen, Other Taxable Income, enter a description and the amount you entered for the 10999-MISC as a negative number Click Continue.

Level 1

Mar 26, 2020 7:21:20 AM

Thank you so very much for sharing that! There is absolutely no way I would have ever thought to enter it as a separate negative amount. You're a superstar, @Irene2805 !!

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How do I adjust the amount in 1099-MISC when the amount is not taxable by the US, but rather to another country?