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Yes. A work-from-home stipend is considered a taxable income. The home-office deduction is not available for full- or part-time workers. The Tax Cuts and Jobs Act of 2017 prevents employees (those who receive a paycheck or W-2) from claiming expenses related to setting up and maintaining a home office.
To enter your 1099-misc:
Thank you. What do I choose as the "SOURCE"? None of the ones listed seem correct. They are listed as:
Choose the source of the rental income:
Depending on the choice you make here, the 1099-MISC income you enter may be moved to another part of the program. Don't worry if you don't see the income on your summary now, you will see it later when you visit that other income topic.
** Rental income from the rental of real estate (Schedule E)
** Income for your business from the rental of personal property or equipment (Schedule C)
** Farm rental income Learn More
**Nonbusiness income from the rental of personal property or equipment Learn More
Is the 1099-Misc reporting the income in Box 1 as Rental Income? It should be reported in Box 3 as Other Income. You could ask your employer to issue you a corrected Form 1099-Misc.
However, if you can't get a corrected form, you could enter the income as follows:
Save any documentation that this income is for a Home Office Reimbursement.
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