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avidmusician
Returning Member

Tax Year Prior to 2020: Compensation received for job search reported as 1099-MISC

I am planning on moving to a different state this year, and last year I traveled to this state to search for a new job (in the same field as my current job). I received a 1099-MISC as compensation for my travel, and kept receipts. I ended up not being employed by this company, but by a different company in the same field.

 

When asked "Did [this money] involve work that's part of [my] job?", can I indicate yes?

 

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3 Replies
KrisD15
Expert Alumni

Tax Year Prior to 2020: Compensation received for job search reported as 1099-MISC

No, I suggest you answer no. 

A "Yes" answer means you were performing work in your profession, therefore the payment would be self-employment income and you would pay self-employment tax on it. 

From what you describe, it was more of a stipend to cover travel expenses. 

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Tax Year Prior to 2020: Compensation received for job search reported as 1099-MISC

Hey, I did receive around a 1k as a reimbursement for a job interview from an employer, I ended up not working for that employer, they asked for my SS#, where should I report this income/payment? 
thanks

VictorW9
Expert Alumni

Tax Year Prior to 2020: Compensation received for job search reported as 1099-MISC

Report the income in schedule C and deduct the travel and other expenses related to the interview. Hopefully, you should come out even. But you would have to use the self-employed version of the software since that's the version that offers schedule C.

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