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February 19, 2022
Question

I received a 1099-misc , part of the Return to work bonus, i get confused because i enter the info and then its telling me self employment, please how to do it properly?

  • February 19, 2022
  • 1 reply
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please how to file correctly if i received a 1099-misc because i was part of the return to work bonus, program , its confusing because then it takes it as self employment income and its not, this payment came from the state

1 reply

February 19, 2022

You do not want to report this as business income. Instead, report it as Other Common Income following these steps:

  1. Open or continue your return
  2. Select the magnifying glass and search for 1099-misc. Select the Jump-to link
  3. Answer Yes to Did you get a 1099-MISC?
    • If you already entered a 1099-MISC, you'll be on the 1099-MISC Summary screen, in which case you'll edit the 1099-MISC
  4. Enter the info from your form into the corresponding boxes
    • If you need to enter boxes 4–6 or 8–17, check My form has other info in boxes 1–17 to expand the form
  5. Enter Back to work bonus under Describe the reason for this 1099-MISC
  6. Select None of these apply under Does one of these uncommon situations apply?
  7. Answer No, it didn't involve work like my main job. to Did the back to work bonus involve work like your job?
  8. Choose the year you got the bonus, 2021.
  9. Select No, it didn't involve an intent to earn money.

The last question is a little confusing, but you were not in the business of getting new jobs in order to receive bonuses. If you were to answer yes to this, it would treat it like self-employment income.