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Level 1
posted Feb 13, 2020 7:25:56 PM

I received a 1099-MISC from Robinhood, for my Groupon Stock. When putting the description for the "reason for this 1099-MISC," what should I put?

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9 Replies
Expert Alumni
Feb 13, 2020 8:24:55 PM

Was the Groupon stock sold? If so, you can simply describe it as a sale of Groupon stock.

Level 1
Feb 15, 2020 2:49:08 PM

No it was a free stock gift for referring a friend on Robinhood in February of 2019

Expert Alumni
Feb 15, 2020 3:26:23 PM

Enter it as "Other Common Income"

Click Federal

Click Wages & Income

Click “See All Income” if needed

Scroll down (PAST SELF-EMPLOYMENT) to “Other Common Income”

Click “Show more”

Scroll down to “Form 1099-MISC”

Click Start

Enter the 1099-MISC and Continue

On the "Describe the reason for this 1099-MISC” screen enter something like “Referral Incentive” and Continue

Select “None of these apply” and Continue

Select “No, it didn’t involve work like main job” and continue through the interview selecting the appropriate answers for a one-time payment 

The amount from the 1099-MISC will be reported as Other income on the 1040 line 7a, not as Self-employment

New Member
Feb 23, 2020 9:44:43 PM

After that I see that $7 from 1099-Misc reported as self-employed income.

I am on H1B visa and can't be self-employed. How can I avoid self-employed record and report 1099-Misc with $7?

Level 1
Feb 27, 2020 2:50:42 PM

I entered mine as "Referral bonus stock" and then recorded the other income as "Prize money." 

Expert Alumni
Feb 27, 2020 3:06:25 PM

That should work for you. You should see the income on line 8 of schedule 1, part I on your federal tax return if it gets processed correctly.

New Member
Mar 17, 2020 7:49:45 AM

Did you report a capital gain/loss?

Expert Alumni
Mar 18, 2020 1:52:48 PM

@09wattry

 

"Did you report a capital gain/loss?" - what is this question in reference to? a 1099-MISC? a coupon or referral bonus?

 

New Member
Apr 10, 2020 7:25:35 AM

How do I do this on the cd/download desktop version?