Problem entering Celsius Network LLC 1099-MISC, registering as a business

Forum|Forum|4 years ago
March 24, 2022
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Hello, I'm trying to add the 1099-misc I got from Celsius.

when I do that, it creates a Schedule C "Profit or Loss from Business". It's not a business, so how do I properly enter it?

This was not a problem with TurboTax for 2020.

Best answer by PatriciaV

Since it sounds like the income from your 1099-MISC was for interest earnings and not mining, you want to make sure it is entered correctly on your tax return.

With your return open, go to Federal > Wages & Income
Open the Less Common Income section and start or revisit the last entry, Miscellaneous Income, 1099-A, 1099-C.
On the next screen, start/revisit the very last entry, Other Reportable Income, and answer Yes on the following screen.
On the next screen, enter a description (for example, "Crypto Interest") and then enter the total USD amount.
You may repeat this for every currency for which you received interest or combine them on a single line.
Select Continue when finished.

VolvoGirl

Level 15

Why did you get a 1099Misc? It's not for self employment?

Kon21Author

Level 2

No idea why it's 1099-misc, but that's how they have always sent it. It wasn't a problem in TurboTax 2020. As far as I know all the crypto companies that offer interest send out 1099-misc.

mattmouth182

Level 4

You intended to make investment income, not income from working or a business. If you say it was an intent to make money, TurboTax will send you to the business section to put this income on Schedule C.

This question is not an IRS as much as it is a programming, where to take you next question and which form to report.

Normally investments would be reported on a 1099-Int or 1099 DIV or 1099B not a 1099 Misc.

I see, so it's just poor wording on TT's part? So the "intent to make money" question is only there to determine if the income counts as a "job"? What is the IRS's definition of what type of income should be on a Schedule C?

Would it be better to just input it as a 1099-int even though it is a -misc?