Tax Question - 1099 Misc.

[Bonnie L]

Found out we have to file for 2008 for financial aid for our son's education, even tho we don't owe anything.

How do we report the income reported on a 1099-Misc? The one copy I got says it's mine. Do I Xerox it or just report it on a line of the 1040 or 1040-A?

I tried to find instructions at the IRS web-site, but it's way too confusing.

I figured that with all the weird jobs people have, someone would know!

[mldrenen]

what box number on the 1099-misc was the income reported in?

[linuxboy]

if the income was earned, meaning from self-employment doing work as a contractor, fill out Schedule C and SE (if over SE threshold). If this was for a prize, in box 3 of the 1099, then it's considered other income, not subject to SE tax.

[Bonnie L]

Box 7 - nonemployee compensation. Less than $1000. As a free-lance writer.

[Backfourty,MI.]

If it's for 2008 Taxes I would think you would have to file an amended form for 2008 first of all.
Most IRS offices give out the big Instruction booklets each year & it gives instructions for all the tax form's & different taxes, example, long form, short form, EZ file, etc. But I believe a 1099 form that is income goes on your federal return under the income section. There is usually a space where you write where the income came from, that's where you would write 1099 Misc. I believe.

If you have an IRS office close to you there people are usually pretty good at answering any questions or helping you fill out your return.

[mistletoad]

Schedule C or C-EZ.

[blooba]

Goto http://www.irs.gov/formspubs/article...=98339,00.html to get the forms you need. I beleive a 1040EZ will work maybe a 1040, read the instructions. If this was your only income it should be easy since you have had no tax withheld nor should have to pay any.

[fordy]

Originally Posted by Bonnie L

Found out we have to file for 2008 for financial aid for our son's education, even tho we don't owe anything.

How do we report the income reported on a 1099-Misc? The one copy I got says it's mine. Do I Xerox it or just report it on a line of the 1040 or 1040-A?

I tried to find instructions at the IRS web-site, but it's way too confusing.

I figured that with all the weird jobs people have, someone would know!

..................You are considered an independent contractor ! Use the sch. C short form which should allow you too list the expenses you incurred too produce the $1,000 in gross income ! You will have too pay Self employment tax (Schedule SE) on all Net Income over $400 ! The net income amount(from Schedule C) will have to also be added Too all the other sources of income on the front of your form 1040 . IF you are still able too claim your minor child as your dependent you may qualify for some Earned Income credit , which , will help to offset the self employment tax computed on Schecule SE . , fordy

[blooba]

Originally Posted by fordy

You will have too pay Self employment tax (Schedule SE) on all Net Income over $400 !

Ouch, they tax all the way down to $400 on SE income, good ol' Uncle Sam

[Bonnie L]

Thanks for all the help everyone. After looking at all the forms the light bulb went off. I think we're going to need a tax preparer to help us answer some of the question I now have.

Dh has been getting income from 2 school districts for the last 5 years or so as a contract employee. We thought the forms they gave him at year end were like the W-2 - but they are 1099-Misc. We may owe a bunch of self-employment taxes.

I think I preferred being clueless. Sigh.

[mldrenen]

Originally Posted by Bonnie L

Thanks for all the help everyone. After looking at all the forms the light bulb went off. I think we're going to need a tax preparer to help us answer some of the question I now have.

Dh has been getting income from 2 school districts for the last 5 years or so as a contract employee. We thought the forms they gave him at year end were like the W-2 - but they are 1099-Misc. We may owe a bunch of self-employment taxes.

I think I preferred being clueless. Sigh.

i'm surprised you haven't received some not-so-friendly letters from the IRS. if you have any questions, feel free to PM me. i do this for a living and might be able to lend a hand.

[Bonnie L]

Originally Posted by mldrenen

i'm surprised you haven't received some not-so-friendly letters from the IRS. if you have any questions, feel free to PM me. i do this for a living and might be able to lend a hand.

I'm taking you up on your offer of help. PM on its way.

[blooba]

Originally Posted by Backfourty,MI.

If you have an IRS office close to you there people are usually pretty good at answering any questions or helping you fill out your return.

Please don't fly to your local IRS office.....lol

http://news.yahoo.com/s/ap/20100218/...ne_crash_texas

The bad part is, his wife will have to still pay the $126,000 in back taxes he owes.

[Missy M]

The person who furnished you the 1099 will also furnish a copy to the IRS. You just need to make sure you pay the taxes on it.