1099-MISC turbo tax page assumes that it's for only one person

[estes3]

The TurboTax online webpage for entering the 1099-MISC wants to know if the form is for me or my wife.  It uses radio buttons for input.  So, it's a mutually exclusive selection -- either me or my wife.  However, the form was issued to the household and it's for both of us.

[DianeW777]

It's not a problem.  You have a few choices depending on what the income is actually for.  

1. You can choose to split it and enter half for each of you, essentially two forms 1099-MISC.
2. If it is self employment income then you would want to enter on each of your separate businesses the amount that belongs to each of you.
3. You can enter the 1099-MISC once under either of you as long as it's not self employment.

Please update here if you have more details that require more clarification.

[estes3]

Actually, it's for the California Middle Class Tax Refund.  So, every California married couple filing jointly is going to run into this.  The assumption by the software team is simply incorrect and TurboTax should fix this ASAP.

[DMarkM1]

If filing a joint return then enter the 1099-Misc for the CA Middle Class Tax Refund once and select either you or your spouse it doesn't matter.  

If you file separately then each of you will enter a form 1099-Misc and put half of the amount on each return.  

This MCTR amount is not being counted as taxable income so there has been an update for this MCTR form entry.  You will need to delete and re-enter the form 1099-Misc for the MCTR.

1. Go back to the "Wages and Income" section.
2. "Edit" the 1099-Misc
3. "Delete" the form entry
4. Click "Done"
5. On the summary page scroll down to "Other Common Income"
6. "Revisit" the 1099-Misc topic
7. Re-enter the form information
8. You will arrive at a page titled "Does one of these uncommon situations apply?"
9. Click the button "This was a California Middle Class Tax Refund (MCTR)
10. Finish the interview section.

This will automatically exclude this amount from federal income. On the federal tax return, the MCTR payment will reflect as a positive amount, as well as a separate negative amount.  

Both the positive and negative amounts will show on line 8z on the Schedule 1.  You can see these entries in the forms view for desktop versions or in the online versions by following these steps:

1. "Tax Tools" in the left hand menu
2. "Tools"
3. "View Tax Summary" in the main screen
4. "Preview my 1040" in the left hand menu

The income will no longer be in the Federal Adjusted Gross Income amount and therefore will not transfer to the CA tax return either.