International Organization Wages are showing as minister wages for Schedule SE, how can I get this to right description?

[Joss]

International Organization Wages, not reported on a regular W-2, but are subject to SE  Tax for US individuals. However,  it looks like ProConnect, only have the options to  generate the SE schedule for minister wages/religious employees. So when I check that the international organization wages are subject to SE tax, the system classifies them as minister wages. How can we tell the system this wages are from International Organization paid to a US person and that they are subject to self-employment tax for Schedule SE to generate.  

[itonewbie · Accepted solution]

There is no special coding for international organizations.  Remove any coding you may have now for ministers.  Instead, head to Taxes > Other Taxes > Self-Employment Tax (Schedule SE).

On the input screen, under Nonfarm, on the line for Net income [Adjust], enter the amount that should be subject to SE tax.  This will show up on Line 2 of Schedule SE as per the form instructions.

[Joss]

Thank you, this is very helpful. 

[itonewbie]

No problem, @Joss.  If this solves your problem, please consider marking this the solution to help others who have similar questions.

[ngalvez]

Hi @itonewbie - my client's wages were reported on their W2 box 1 and must be reported on Line 1 of Form 1040; this income is subject to SE and needs to be reported on Line 2 Schedule SE. How do I report this amount on both lines and avoid the tax being duplicated?

In addition, the international entity provides this guidance: The Bank's share of Social Security and Medicare can be taken as an adjustment to gross income on the federal income tax return. District of Columbia, Maryland and Virginia also allow this adjustment. Do I include this adjustment under Schedule 1- Other? 

Thank you 

[sjrcpa]

Do what itonewbie said. You should get the SE tax and the adjustment for 1/2 of that on the 1040.

[ngalvez]

Hi, my client is a US Citizen living in the US working for an International Organization. Their wages are to be reported in line 1 of the 1040 and in Schedule SE. When I report the wages on line 1, this amount becomes part of the taxable income and tax is calculated; when I enter the same wages on Schedule SE, tax is calculated and included in Schedule 2. I want to know how to avoid the duplicate calculation of tax. Thank you