Tax Year Prior to 2020: 1099-MISC

[CarmenAnd]

My mother received a 1099-MISC in the mail. She receives supplemental income from Washington DC each month to assist with her rent. How does she report this on her taxes?  DC Housing noted the income in box 3.

I am in the process of filing for her but am unsure because everything I choose reads as if she owns a business. 

[KurtL1]

When you enter the Form 1099-Misc information the amount in Box 3 will show on her return as "Other Income".

To enter the 1099-Misc you should:

• Enter 1099-Misc in the Search Magnifying Glass in the upper right hand corner of your screen.
• Select Jump to 1099-Misc.
• Answer the questions on the screens.

Make sure you enter the income in Box 3 of the form.

[CarmenAnd]

I misspoke...it is in box 1 labeled "rents"..do I follow the same steps??

[VictorW9]

If the amount is in box 1, then it looks like your mother will have to prepare a schedule E. It means that she receives rent as a landlord. What I cannot understand form what you said is that "she received supplemental income to help pay her rent." If that's the case, why are they sending her a 1099-Misc as if she's a landlord.

[CarmenAnd]

Thank you. This is a pilot program through DC Housing. It is for seniors to assist them with paying their rent every month. My opinion is it would have been better noted under box 3?