I received a 1099-Misc for Notary income. I can not figure out how to avoid the self-employment tax. Every time I enter the amount it is still taxed at the 15%.

[ChristinaS]

Notary income is unique. Notary income and expenses go on Schedule C, but the net income is not subject to Self-Employment Tax.

If you have self-employment tax at this point, that's good. That means your income is being reported in the correct place.

Now, you get rid of the Self-Employment Tax while leaving the income on Schedule C:

• Federal Taxes
• Other Tax Situations
• Business Taxes
• Self-Employment Tax
• click Make Adjustments
• Enter your net Schedule C income in field "Net Income Earned as a Notary Public"