Report Cash Income

[harriet-maccrack]

My husband sold some books he authored for cash, where does he report it as well as expenses?

[ChristinaS · Accepted solution]

It all goes under the Business tab of Self-Employed.

You don't need to have a 1099-MISC to have business income. Many businesses receive most or all of their income without any 1099 forms whatsoever. You only enter as a 1099MISC if you literally have one.

You enter your income as General Income: (using SelfEmployed Online or Home and Business)

• Business tab of Turbo Tax
• Update next to Profit or Loss from Business (if you haven't started entering your business because you were "stuck" on the 1099-MISC issue, then go through the initial questions by adding a business)
• Edit next to your business name
• Start or Update next to Business Income
• Start or Update next to General Income
• Make up your own description under "Tell us about additional income for your XX business" and put the amount you were paid.

The description above will save on your worksheets, but the IRS only sees total income. You are required to claim all income whether you got a 1099MISC or not, but you are not required to list the source of every dollar.

In this section of the program, everything about the business of writing/ selling the books is enterred.

For instance, as a tax preparer/ advisor, I get few 1099 forms. Using Turbo Tax, I would enter all of my income under General Income as "tax prep". I certainly wouldn't list every payment per client.