I don't understand why the "farm optional method" was used on schedule SE form? I don't have a farm. Where in turbotax should I check to see if I made a mistake?

[MeganS]

If you don't have a farm please follow these steps to go in and delete that information.

https://ttlc.intuit.com/replies/4801212

[niels]

There is a bug in TT. Sch SE, p2-S shows a number on line line 14 even when I have clearly stated that I do not have a farm.

[TaxGuyBill]

@niels  Did you by chance enter a K-1 from a Partnership?  If so, what are the codes in Box 14 of the K-1?

[jijohn]

I was facing the same issue with tax 2019. I dont have a K-1 related form

[maggiejtx]

I was reviewing my already submitted 2020 tax return since my refund has passed the three week mark and is still processing.  I see that there is a number listed under farm income.  This must be a glitch in the turbotax system.  I am a virtual assistant.

[JamesG1]

A hard copy of IRS Form 1040 Schedule SE Self-Employment Tax includes the value '5,640' in Part II line 14.  Is this what you are seeing?

Are entries on your Schedule SE only in Part 1 on lines 1a through 12?

You may also have elected to use Part III Maximum Deferral of Self-Employment Tax Payments on page 2.

[Denormanee]

****This Is The Best Answer****

Thanks JamesG1

This completely solves the mystery. Good to know that this is just how the IRS form is.

P.S. I tired to click the thumb, but the website won't let me. It also doesn't show how I can mark this as the "Best Answer" so I did what I could to let others know.

[MatthewB]

Hello, thank you so much for the helpful information! I was wondering if you know how to fix this mistake on an amended tax return on Turbo Tax? 

Thank you,

Matthew

[JamesG1]

In your amended tax return, does your IRS Form 1040 Schedule SE only display entries in Part 1 on lines 1a through 12?  Please clarify.

A hard copy of IRS Form 1040 Schedule SE Self-Employment Tax includes the value '5,640' in Part II line 14.

[MatthewB]

Hello! We have not yet filled out an amended return, but in our original 2020 tax return, on the Schedule SE (Form 1040) Part I, the following lines have numbers; 2, 3, 4a, 4c, 6, 7, 9, 10, 11, and 12. Part II only has line 14 filled in (the 5,640 you mentioned).

We are trying to figuring out if the line 14 should be blank (if we did something wrong on our original return) and whether or not we need to do an amended return because of that. I do see that the IRS 1040 Schedule SE hard copy form has line 7 (of Part I) set at 137,700 and line 14 (of Part II) set at 5,640.

My question: is Part II Schedule SE 1040 being filled in with 5,640 on line 14 okay, even when certain lines of Part I of the same form are also filled in? (Given that we do not have a farm, never had, don't do farming, etc.)

Any help would be much appreciated! Thank you!

[GreginCA]

Try moving the Check Box mark on the Estimated Tax Worksheet from "Farm" to one of the first two boxes.

[JamesG1]

@MatthewB

I assume that the correct amount transferred to the 1040.  The amount on line 12 of Schedule SE was transferred to line 23 of the 1040?  And line 13 of the Schedule SE was transferred to line 10a of the 1040?

If so, you know that the correct computation was made and transferred to the 1040.

There are several IRS forms which have 'hard' numbers pre-printed on the form.  I think that is all that you are seeing in Part II line 14 of the IRS Form 1040 Schedule SE Self-Employment Tax. 

[MatthewB]

Hi JamesG1,

We double checked the numbers and they transferred correctly. Thank you so much for the additional information, appreciate it a lot. Also the information about the hard number was very helpful.  I know audit can happen and anything is possible, but we feel much more comfortable on our end with the state of our taxes. 

Appreciate your help again,

Matthew

[JamesG1]

You are welcome.

Lots of changes to the IRS Form 1040 Schedule SE this year.  Does not hurt to ask questions.

Best wishes.