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ace01
Returning Member

Internship for the Summer

If I reside in NC and going to college - what am I supposed to do when I receive a 1099-MISC for internship work in Florida?  It was like 2 1/2 months.    Th system ask me did I live in another state?  Ask me did I earn money in another state.  What do I say and do?

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2 Replies

Internship for the Summer

There are rules about when you actually "reside" in another state, set by the states of course, and that will determine if you lived in Florida. (Sometimes there may even be special rules for students, but generally internships are just limited time employment or contracting arrangements.) The fact that Florida does not have individual state income tax might be a factor worth considering when you are asking if you qualified as a resident. If you have a choice under the law, generally we figure things both ways and then make a choice.

But on your federal return, either way you need to report that income. Since you received a 1099, you might report that on Schedule C, and deduct any related business expenses. Alternatively, when there are no related business expenses, people sometimes simply report this as "other income," but Schedule C is typically better because that way it will figure your self-employment taxes and also qualify you for the qualified small business tax credit.

MarilynG1
Expert Alumni

Internship for the Summer

Yes, you can indicate that you 'earned income in another state' in the MY INFO section.

 

However, since Florida has no Income Tax, you will not need to file a tax return there.

 

All your income is taxed by your Resident State of North Carolina.

 

Here's more info on How to File a Non-Resident State Return.

 

@ace01 

 

 

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