Split Income from 1099-K

Forum|Forum|3 years ago
February 6, 2023
1 reply
7 views

My friend received a 1099-K for the full year earnings from Patreon. However, he asked me to help him with his business and split his income with me. Does he need to issue me another 1099 or can we just split the income in our personal tax returns?

TurboTax Self Employed Online

GILLIOAuthor

Level 2

Keep in mind, my friend is Self-Employed and there is no partnership or LLC associated for this year

MinhT1

Level 15

You are acting as your friend's sub-contractor.

Your friend has to issue a form 1099-NEC and has to file that form with the IRS. He can then deduct the amount he paid you as his business expense as Payment to contractors.

As for you, you'll need to report the form 1099-NEC as Self-employed income. If you have expenses, you can deduct them against that income.

**Say "Thanks" by clicking the thumb icon in a post. **Mark the post that answers your question by clicking on "Mark as Best Answer"

GILLIOAuthor

Level 2

OK thank you. In looking through the information, it would seem like he needs to first mail a 1099 to the IRS. I saw something saying this service may also be available through TurboTax? Does a mailed 1099 need to get approved first before we both can proceed?