Do not enter a spiff as a 1099-MISC, even though you received a 1099-MISC. Here's how to enter a spiff in TurboTax. This will work in both TurboTax Online and the CD/download version. No override is necessary.
Click the Federal Taxes tab.
Click Wages & Income.
Click Explore on My Own.
On the screen "Your 2012 Income Summary," scroll all the way down to the last section, "Less Common Income."
Click the Start or Update button for the last topic, "Miscellaneous Income, 1099-A, 1099-C." (I know you have a 1099-MISC, but this is the topic you want.)
The next screen says "Let's Work on Any Miscellaneous Income." Scroll all the way down to the bottom and click the Start or Update button for the last topic, "Other reportable income."
The next screen asks "Did you receive any other taxable income?" Click Yes.
On the next screen, "Other Taxable Income," it says "Do not enter income reported on Form 1099-MISC." Ignore that. For the description enter "Manufacturer's incentive payment" and enter the amount. Click Continue.
On the next screen click Done.
On the next screen click Continue.
The income will be reported on Form 1040 line 21 with the description that you entered. By identifying it as a manufacturer's incentive payment, which is the term the IRS uses for spiffs, you will hopefully avoid any inquiries from the IRS.
People come to TurboTax AnswerXchange for help and answers—we want to let them know that we're here to listen and share our knowledge. We do that with the style and format of our responses. Here are five guidelines:
- Keep it conversational. When answering questions, write like you speak. Imagine you're explaining something to a trusted friend, using simple, everyday language. Avoid jargon and technical terms when possible. When no other word will do, explain technical terms in plain English.
- Be clear and state the answer right up front. Ask yourself what specific information the person really needs and then provide it. Stick to the topic and avoid unnecessary details. Break information down into a numbered or bulleted list and highlight the most important details in bold.
- Be concise. Aim for no more than two short sentences in a paragraph, and try to keep paragraphs to two lines. A wall of text can look intimidating and many won't read it, so break it up. It's okay to link to other resources for more details, but avoid giving answers that contain little more than a link.
- Be a good listener. When people post very general questions, take a second to try to understand what they're really looking for. Then, provide a response that guides them to the best possible outcome.
- Be encouraging and positive. Look for ways to eliminate uncertainty by anticipating people's concerns. Make it apparent that we really like helping them achieve positive outcomes.