Why does 2020 Turbo Tax show 1099-MISC Box 7 as N/A ?

[Chena]

I just installed Turbo Tax 2020.

I'm trying to begin adding information and find that when I add a draft 1099-MISC that will

be coming (eventually) for sole proprietor income, that Box 7 is listed as N/A.

Why is it not "Nonemployee compensation" as I would expect ?

[Anonymous_ · Accepted solution]

Form 1099-MISC has changed for the tax year 2020.

See https://www.irs.gov/pub/irs-pdf/f1099msc.pdf

For nonemployee compensation, you will receive a Form 1099-NEC.

See https://www.irs.gov/pub/irs-pdf/f1099nec.pdf

[Anonymous]

just as a warning the 2020 software will probably not be fully functional until some time in January maybe even early February. 

[Critter-3]

FYI .... entering in 1099 income for a Sch C is not required by the IRS ... all they get is a total on the Sch C.  All that data entry is for your benefit only and it not required.  If you wish just skip those screens and enter the total in the additional income section.  

[Chena]

Thanks for that information -- the change to a 1099-NEC is new to me.

And it is apparently still new to Turbo Tax as a search for 1099-NEC in "Search Topics" does not

yield results.

I'll represent this as "other income" for now and will just have to delete that and re-enter it as

1099-NEC when Turbo Tax supports that new form.

I am trying to get an early assessment of 2020 taxes to double-check my own spreadsheet based

predictions as I consider end-of-year moves (Roth conversion, additional charitable donations, tax loss

harvesting).

I appreciate everyone's help.

[Critter-3]

Again you NEVER have to enter the 1099 income in the 1099 section of the Sch C income entry screen ... the only reason there are 3 places to enter Sch C income  in the program is because if there wasn't the uneducated users would be confused.  So again you don't have to enter in the 1099 income at all since none of it goes to the IRS at all ever (the IRS gets a copy of the 1099 from the issuer just like you do )  ... all the IRS ever sees is the total on the Sch C.   If you want to use that section go ahead ... it is your time to waste.  

[Gizmo10tuoi]

i have the same issue too, 2020 i cannot find box 7 , neither NEC (nonemployee comp) i like to create 1099 misc (this year is 1099 NEC) but i cannot find on turbo tax soft ware, which i been using more than 10 yrs with turbo tax. this year turbo tax confuse me a lot. i try to call [phone number removed] they put me on hole 1 hr but noone come to me. i have small buss. i been using this soft ware but this year i am very disappointed.

Nichole [removed] 

[Anonymous_]

@Gizmo10tuoi 

If you are using TurboTax Home & Business, you need to update your software.

[VolvoGirl]

Or do you need to create a 1099NEC to give to someone you pay?  Are you using the Online Self Employed version or the Desktop program?

And to report income you don't need to actually enter the 1099NEC you can report the total under Cash or General.  Only the total goes to schedule C line 1.

[Critter-3]

@Gizmo10tuoi 

Starting with 2020 there is no more box 7 on the 1099-Misc ... it was moved to the new 1099-NEC box 1.  

https://turbotax.intuit.com/tax-tips/irs-tax-forms/what-is-form-1099-nec/L5fbwIFSn

[Gizmo10tuoi]

i cannot find 1099 NEC on turbo tax 2020 where is it?

[Gizmo10tuoi]

i need to create 1099 misc income for my customer she own nail, she likes to issue 1099 misc (nonempl. comp) for her nails tech. but this year i purchase the software turbo tax , i try to create 1099 but i dont see 1099 misc. i know IRS change to 1099 NEC but there is not on my turbo tax software, then where do i enter this misc, income???

tkx

[VolvoGirl]

Are you using the Online version or the Desktop program?  And which version like Deluxe or Home & Business or Self Employed version?  All versions should be updated for it.

[Gizmo10tuoi]

i been using home & buss turbo tax

[Gizmo10tuoi]

no , i purchased the software at Sam's club every year , i am using Home & business