I would put it on other income. on the 1099NEC worksheet there is a box to check other income. If it were a larger amount it should go on C and pay se tax. 

@Terry53029 You're basing the decision on whether it is subject to SE tax on the amount?

I am aware that director fees are subject to se tax, but on such a  small amount I wouldn't bother with a C.

Maybe if client were receiving every year I might use a C 

They will be getting every year so I'll do the schedule C.  Given it's going there will it be 199A eligible?

Thanks for the help..  

Maybe maybe not. To qualify for the QBI deduction, your business must meet certain requirements. First, it must be a trade or business under section 162 of the tax code. This includes businesses such as sole proprietorships, partnerships, S corporations, and trusts and estates. If he is on board of directors of a c corp probably not. 

On the Misc. Income screen 14.1>Alimony  Other Income, about halfway down, there is a field for "Other Income subject to self-employment tax".  I usually enter these types on income here with a description.

For those requiring further proof of IRS schizophrenia:  Page 29 of the 1099 instructions tell you to put director fees on a 1099-MISC.  But Page 27 tells you to use 1099-NEC.  

"But then you can't screw the client out of an extra fee for that form."

 You can always adjust your charge for Sch SE.  

I removed that comment because it looks like IRS wants a Schedule C for anything subject to SE tax.  Because the trained monkeys at the Service Centers can't figure out where to find 1099 income, otherwise.  I would tell a client to jump through their hoops if expecting a refund, but to avoid additional work if there is a balance due on the return.  Especially if the amount of tax involved is below the CP2000 criteria.  

I forgot about that line item. Very helpful thanks. 

Good point. Let’s make it obvious and just use the C. 

Thanks

FWIW - in past years Lacerte would not include the "income subject to SE tax" entered on Screen 14 in the QBI calculations.  I haven't looked at it for 2022, yet.

So, the way you report it, are you filing an SE form?  If not, I think this could be considered a fradulent return of some sort.

Yes I am, thanks