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1099-NEC input into proconnect tax

npardon
Level 1

I know that this has been asked before, but I have seen two different answers. Some say that you need to run the amount through Schedule C and treat it as self-employement. Other say that you should the other income in the income, SS benefits and alimony section. My client is retired and had a part time job and received a 1099-NEC with box 1 being the only amount. They do not own a business. I just want to make sure I am entering information correctly. That way I know whether my client will owe or not.

Thank you,

 

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2 Comments 2
BobKamman
Level 15

If it's a part-time job, why is he not receiving a W-2?  Agreed  to pretend it's self-employment, so that the employer can evade employment taxes? Lots of that going around these days.  If you want to be an accessory, that's your decision.  

qbteachmt
Level 15

"and had a part time job and received a 1099-NEC with box 1 being the only amount."

In other words, he worked. What he did is offer his services. He is his own business. Whether he is misclassified and should be on payroll with W2, or is running a sole proprietorship and files Sched C, is yet to determine. But even you called it "a" "job" and that means business and that is Schedule C at the least.

NEC = compensation for services rendered.

"They do not own a business."

They are the business. That's pretty much the definition of Sole Proprietor.

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