In TT Deluxe 2023, on the Schedule C worksheet/EasyStep, it requests the following information:
- gross receipts "not reported on 1099-NEC or 1099-MISC"
- 1099-NEC income
- 1099-MISC income
- 1099-K income
The way the question is worded, 1099-K income (that does not include 1099-NEC or 1099-MISC income) should be included in "not reported on 1099-NEC or 1099-MISC." But if you do that, it gets counted twice. For simplicity, I did a dummy return assuming gross receipts of $10,000, all of which was reported on a 1099-K that does not include 1099-NEC or 1099-MISC income. Sure enough, entering $10K "not reported on 1099-NEC or -MISC" (true) and $10K "reported on 1099-K" (true) yields a gross income of $20K (false).
So it seems that the question should be worded "gross receipts or sales NOT reported on a 1099-NEC, 1099-MISC, **OR 1099-K**. Otherwise TT will overreport income.
Is this correct - meaning Intuit should re-word this question ASAP - or am I missing something? Thanks.
Yes, that question should be reworded to say that you should not include 1099-K income already entered elsewhere. You only need to enter each type of income one time or it will be doubled.