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Level 1
posted Apr 5, 2023 8:52:58 AM

Why does the same income appear as farm income and sole proprietor business income?

Why does the same income appear as farm income and sole proprietor business income? When I enter income from a 1099-MISC , several questions later, it appears as income for farm as well as for sole proprietor business. Is there something wrong, or is this how that income is naturally reported?

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1 Best answer
Expert Alumni
Apr 5, 2023 9:44:20 AM

Yes something is wrong.  You will be taxed twice on that income.  There should be an option to assign the form 1099-MISC to either the Schedule C or Schedule F.

 

This is the interview page where you can assign the form 1099 income.

Follow the prompts after this page.  It should add the income appropriately.  You may have to delete or edit the form 1099 entry

 

2 Replies
Expert Alumni
Apr 5, 2023 9:44:20 AM

Yes something is wrong.  You will be taxed twice on that income.  There should be an option to assign the form 1099-MISC to either the Schedule C or Schedule F.

 

This is the interview page where you can assign the form 1099 income.

Follow the prompts after this page.  It should add the income appropriately.  You may have to delete or edit the form 1099 entry

 

Level 1
Apr 6, 2023 11:31:08 AM

Thank you! Although I want to pay my fair share, I don't relish paying more than that.