I am a sole proprietor and received income from a Canadian firm that does not have a federal identification number. How do I enter this income and where do I enter it?

[mjl19541979]

I am a sole proprietor and received income from a Canadian firm that does not have a federal identification number. How do I enter this income and where do I enter it? This income should be treated as income, it was wired to my checking account. This firm does not do business in the US. My work was done mainly in the US. I need a FIN to enter this income into TurboTax but no not have one, nor can this company obtain one.

[ChristinaS · Accepted solution]

You don't need to have a 1099-MISC to have business income, and you don't need to input EINs or SSNs for every payment you get. Many businesses receive most or all of their income without any 1099 forms whatsoever. You only enter as a 1099MISC if you literally have one.

You enter your income as General Income: (using SelfEmployed Online or Home and Business)

• Business tab of Turbo Tax
• Update next to Profit or Loss from Business (if you haven't started entering your business because you were "stuck" on the 1099-MISC issue, then go through the initial questions by adding a business)
• Edit next to your business name
• Start or Update next to Business Income
• Start or Update next to General Income
• Make up your own description under "Tell us about additional income for your XX business" and put the amount you were paid.

The description above will save on your worksheets, but the IRS only sees total income. You are required to claim all income whether you got a 1099MISC or not, but you are not required to list the source of every dollar.

For instance, as a tax preparer/ advisor, I get few 1099 forms. Using Turbo Tax, I would enter all of my income under General Income as "tax prep". I certainly wouldn't list every payment per client.