Robinhood 1099-MISC has $7 in Box 3 “Other Income” (dividends from my ETFs). Is this really ‘self-employment’ (investing)? Seems like “intent to earn money” is true?

• Click the Federal Taxes tab ( Personal in the Home & Business version)
• Click Wages & Income. (Personal income in the H & B version)
• On the screen "Your 2019 Income Summary," scroll all the way down to the last section, "Less Common Income."
• Click the Start or Update button for the last topic, "Miscellaneous Income, 1099-A, 1099-C."
• On the next screen, "Let's Work on Any Miscellaneous Income," scroll down and click the Start or Update button for the last topic, "Other reportable income."
• The next screen asks, "Did you receive any other taxable income." Click Yes.
• On the next screen, "Other Taxable Income," enter a description and the amount. Click Continue.
• On the next screen click Done.

The income will be reported on Sch 1 line 8 with the description that you entered.

I have also receiver 1099-Misc from the Robinhood for $7.

I am H1B and can't be self-employed!

Turbotax tried to report that $7 as self-employed income. How to fix this?

Critter, you appear to be copy/pasting answers that are out of date. I have already listed the issues with this answer above and I have not received an answer to them yet. It looks like Intuit isn’t responding to tax questions in a timely manner, so I guess I’ll have to pay for personal tax advice at this point.

Follow these directions to post 1099-Misc, box 3 income not subject to self-employment taxes.

• Down the left side of the screen, click Federal.
• In the center of the screen, click Income & expenses.
• On the screen Your income and expenses, scroll all the way down to the last section, Less Common Income.
• Click the Start or Update button for the last topic, Miscellaneous Income, 1099-A, 1099-C.
• On the next screen, Let's Work on Any Miscellaneous Income, scroll down and click the Start or Update button for the last topic, Other reportable income.
• The next screen asks, Did you receive any other taxable income. Click Yes.
• On the next screen, Other Taxable Income, enter a description and the amount. Click Continue.
• On the next screen click Done.

The income will be reported on Schedule 1 line 8 with the description that you entered. 

JamesG1,

Are you reading the replies to other answers above?

”

Problem with step 2 in your instructions.

“In the center of the screen click Income & Expenses”.

Log in via Safari browser on an iPad.

After logging in click ‘Federal’. 

There is not an item called ‘Income & Expenses’.

There IS a tab called “Wages and Income”.

I think either the UI has changed, or your instructions are out of date, or both. Perhaps this is the ‘desktop’ UI and not the mobile-friendly version of your UI? Both need to be supported.

This is not the only item in the instructions that is out of date.

Please review and provide a working strategy for this please.

So a couple of the headings were slightly off ... but the general info was correct ... see the updated info in the other answer. 

Critter, you aren’t answering questions in the replies.

RE: the last step of your instructions.

On the ‘Other Taxable Income’ it specifically states: “ Do not enter income reported on Form 1099-MISC.”

You are suggesting we disobey the advice of TurboTax and enter info front he 1099-MISC box 3 anyhow?

Are you sure this is legal?

when it asks you need to check the box that says you did not intend to make money, then it wont be self employment income. you didnt work for it, it was just an incentive, if i understand correctly. this worked for me.

28 years in the business  so  I know that box 3 of a 1099-misc CAN be on line 8 of Sch 1. 

No doubt about that critter but a promotional incentive does not constitute self employment. The op did not do any work or invest anything to receive the incentive therefore there was no intent to earn money. This is my understanding anyway.

Which is why it goes on line 8 of the Sch 1  and  NOT on the Sch C.  

Here are the correct instructions, confirmed with a live tax-expert on TurboTax. Please ignore the other sets of instructions. They may have the same end-result, but they will complicate things.

(for mobile browser version of TurboTax, probably also app version)

1. Automatically import your 1099-MISC via the Robinhood integration option (search for Robinhood if you need to). Should be similar for Acorns, E-trade, etc.
2. Click ‘take me to my return’.
3. Click ‘Federal’
4. Click ‘Wages & Income’ tab (may already be selected)
5. On the second line under your W2 you should see: 
   Income from Form 1099-MISC
   Robinhood Securities LLC
6. Click ‘Edit’ for that.
7. Click the First radio button for ‘xx-xxxxxxx‘.
8. Make sure box 3 shows the extra income amount.
9. Type in ‘investing’ or whatever you want for the name 
10. Click ‘none of these apply’ for uncommon situations
11. Click ‘no it didn’t involve work like my day job’
12. Click ‘I got it in 2019’
13. Click ‘No it didn’t involve intent to make money.’ (TT does a horrible job of phrasing this, and the help text doesn’t help. Despite the fact that we CLEARLY intended to make money and knew there would be dividends, apparently this is not a real job and doesn’t involve intent in the same way. TT really needs to fix this.)
14. Click ‘No’ for another 1099-MISC form.

You should see it in Your Income list with no errors or warnings. When you proceed with the submission it should no longer mark this as undeclared income or self-employment tax.

Declaring stock dividends should be WAY simpler than this.

Since you did receive a 1099-MISC, the above instructions are the right way to enter the 1099-MISC as other income and not self-employment.  Most dividends are reported on a 1099-DIV so this is a rare situation.  It is entered in the 1099-MISC section, but you must indicate that it was derived from activities without a profit motive.  If you answer Yes, to the intent to earn money question, the income will transfer to self-employment.   If you enter it in the miscellaneous income section and answer No, to the intent to make money question, it will be reported the exact same way, but you won't be including the issuer's name and Federal ID number with your tax return.  

Self-employment is usually reported in Box 7 (the IRS expects a Schedule C), whereas ''Other Income'' is reported in Box 3, and no Schedule C is required.    @Labutin @jasonsbacon