I received a 1099-MISC and the only thing on it is box 7 is checked. What do I do with this form?

[BillM223]

Contact the party that sent you the 1099-MISC and ask them what they intended to send you (you may get a corrected 1099-MISC). As it is, the form is meaningless. Did you buy $5,000 or more of consumer products from the sender?

[BillM223]

Ah, I see that the 1099-MISC instructions say for line 7: "The report you must give to the recipient for these direct sales need not be made on the official form. It may be in the form of a letter showing this information along with commissions, prizes, awards, etc." 

This explains why there might not be numbers on the 1099-MISC, but I don't know what TurboTax will do with it.

[heatheronder]

Yes they said they are sending both a 1099-misc and a 1099-nec. I’m assuming then I don’t need to enter anything about the 1099-misc in my return, since there’s nothing on it?

[JeffreyR77]

You are correct, there is nothing you need to do in TurboTax with this 1099 MISC.  You should request the originator send a corrected 1099 MISC removing the check in box 7.  The check box in 7 indicates you were sold over $5000 in goods for resale, not that you were received non-employee compensation.  If a corrected 1099 MISC is not generated, you may receive a letter from the IRS if there is no sales of goods reported on your tax return.  

[heatheronder]

I believe that box 7 should be checked based on my line of business, and my earnings from product resale is what’s reported on the 1099-nec. Is there somewhere else I’m supposed to report sales of goods?

[MaryK4]

Yes, you will want to complete a Schedule C to report the Sales income and expenses as a Self-Employment activity.