What prompts the Other Taxable Income - TP on Schedule 1, Line 8 during tax review?

[TPO]

I found a helpful explanation here about what this means. But I'm not sure what prompted TurboTax to report Other Taxable Income. Any tips for tracking this down? Can I tell TurboTax not to include Schedule 1?

My only clues are blanks with "V" on lines 10b "Refunds of deducted taxes (not state or local income taxes)" in "Type of Tax" columns and an auto-populated "Lawsuit settlement" on 22b. I did report a settlement last year for my 2020 taxes.

[RobertB4444]

In your case it sounds like you didn't enter anything that should be other income for this year unless you received a refund of some taxes you deducted last year so this entry is probably just a carryover from last year.  You don't mention whether there is an amount there but there are any number of things that could generate an amount in the Other Income section including 1099 income and state tax refunds and the like.

Please clarify - is there an amount on line 8 or no?

[TPO]

Thanks Robert for your input! The only odd ball this year might be the culprit. We rolled over some retirement account funds and a small portion (~$200) couldn't be put into an equivalent account so we cashed it. This generated a separate 1099-R which I did enter already. Might this be the Other Taxable Income I need to re-enter?

There is currently no value given on line 8 of the generated Schedule 1. I have no 1099-MISC income. I did receive a credit due to an Oregon state tax surplus but I can't imagine they would issue a credit to then tax it! It's possible of course but I figure reducing credits would be way easier if they didn't want to forfeit as much.

[RaifH · Accepted solution]

The 1099-R should appear on Line 4b of Form 1040. If there was an early withdrawal tax, that would involve Schedule 2, but not Schedule 1. 

If there are no amounts on Form 1040 Line 8 or Form 1040 Line 10, then it doesn't look like Schedule 1 contains any taxable information. It sounds like there are some blank fields that may have been carryovers from a prior year, but no additional income from Schedule 1 to report. 

It is possible your Oregon kicker could be taxed federally. If you received Form 1099-G for the payment, you would enter that in the Wages & Income > Other Common Income > State and Local Tax Refunds on Form 1099-G section. TurboTax will ask a series of questions to determine if any of the kicker needs to be included in your federal income. The answer is usually not unless you itemized your deductions and deducted your income tax in 2020.

If you are receiving an error, you may want to go back and revisit that section to make sure everything is filled out in its entirety. After entering it, click Done on the State and Local Tax Refund Summary. Then it will take you to Let's See if your 2020 Oregon Refund is Taxable and you can answer the questions from there.

[jon90]

I have the same issue. 

[jon90]

..

[LindaS5247]

There are various items of "other income" for line 8.  It depends on what line it is on.

It is possible that there were some blank fields that may have been carryovers from a prior year, but no additional income from Schedule 1 to report. 

[jon90]

Thank you for your reply.

I see that it is pre printed information on schedule SE.

[DawnC]

Go to schedule SE to remove any adjustments you made.   @jon90    How do I find Schedule SE?