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trickyur
New Member

Received 1099-MISC as a bonus, not sure how to report

My wife works in the healthcare field and received a bonus from the surgeon's office, and not her employer. The bonus was reported on a 1099-MISC in box 7 as Nonemployee compensation. 

When I begin filling out the information for the 1099-MISC, I select the "This was a commission, bonus, prize, award, etc. from a payer who was not Person A's employer." The next question is, "Did the non-employee compensation involve work that's like Person A's main job?" (The answer is yes). Once I complete this section, the bonus is not filed under the 1099-MISC section, rather it now appears under "Business Items" section as "Business Income and Expenses." The problem is she doesn't own a business and is not self employed. 

How do I file this 1099-MISC bonus to avoid self employment tax since she isn't self-employed?

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1 Reply
JulieR
Expert Alumni

Received 1099-MISC as a bonus, not sure how to report

Instead of answering "Yes" to "Did the non-employee compensation involve work that's like Person A's main job?", the answer should be "No". Then answer "No" to "Did the xxxxxx involve an intent to earn money?"

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