ProConnect Tax Idea Exchange

IMHO not entering the 1099-NEC or MISC income directly where it's supposed to go - Sch C, E, etc. is silly.

Susan, you beat me to it.

@KenGreenberg   The IRS doesn't want/need the listing of F 1099's; they only want the total. 

So just run a tape, if your client doesn't maintain a set of double entry, balanced books.

In ProSeries we would enter every 1099 and the total flowed to the proper area.

Last year I had a situation where the total income on Schedule C exceeded the 1099 income. IRS sent a letter to the client looking for the 1099 income - which was already included

Now I'm careful to breakout the 1099-NEC's with the plus sign for the entry. That's my tape.

Then I break out all income in the Sch C with the plus sign showing "1099-NEC totals: $x", cash or whatever as $y.

The bottom line: Proconnect should import each 1099-NEC and then give us the option to have it flow to the proper schedule - same as their other products. 

I'd rather be more precise than less so. 

"....the total income on Schedule C exceeded the 1099 income. IRS sent a letter to the client looking for the 1099 income - which was already included"

I find that hard to believe; 4 decades of experience and I have never seen that.  Now, if the income reported is LESS than the F 1099's - the IRS will reach out.

OR the F 1099's were MISC v. NEC - especially if the amount was in the wrong box - I can see the IRS questioning. 

And my method isn't 'imprecise.

PTO is based on the same methodology as Lacerte.

Lacerte doesn't have (or need) the function of entering every F 1099 then transferring totals.

Personally, I would like to see the letter that said that.  I’ve been preparing returns for the same time period as abc and I also have never see that happen.

Jeeze Jeff, together we are approaching a century of tax 'service'.   OK, time for my Sunday nap 😉

When we officially hit a century, then I'll start scheduling nap times 😀