If you received your workers compensation "under a workers' compensation act or a statute in the nature of a workers' compensation act" it is not taxable and they should not have issued you a 1099-MISC. Call your state's workers compensation office and find out what you can do. In the meantime, the IRS expects to see that income on your tax return. If you can wait to file your return until you talk to the state and your employer, I would do that. Your employer can easily file a corrected 1099-MISC to zero it out. If not, I put instructions below to report it as non taxable.
https://ttlc.intuit.com/replies/5637489
The only exception is if you were receiving Social Security disability insurance or Supplemental Security Income part of your workers compensation could be taxable according to the workers' compensation offset.
Enter it under Wages & Income:
If you received your workers compensation "under a workers' compensation act or a statute in the nature of a workers' compensation act" it is not taxable and they should not have issued you a 1099-MISC. Call your state's workers compensation office and find out what you can do. In the meantime, the IRS expects to see that income on your tax return. If you can wait to file your return until you talk to the state and your employer, I would do that. Your employer can easily file a corrected 1099-MISC to zero it out. If not, I put instructions below to report it as non taxable.
https://ttlc.intuit.com/replies/5637489
The only exception is if you were receiving Social Security disability insurance or Supplemental Security Income part of your workers compensation could be taxable according to the workers' compensation offset.
Enter it under Wages & Income: