Tax Forms | Tax Codes

Report 1099-MISC or 1099-NEC Income

How to enter any of the 1099 Forms on eFile.com for non-employee compensation? How to enter your 1099 income if you are self-employed?

If you received a 1099-MISC or a 1099-NEC with an amount in Box 7 (non-employee compensation), how you should enter this depends on whether or not this is self-employment income. You don't necessarily have to own a business for the IRS to consider it as self-employment work. If you are unsure as to whether your income is from self-employment or whether you are self-employed, you can review the information here: self-employed, business owner, or independent contractor. The eFile Tax App will ask you questions to understand if your income is considered self-employment, but you can always contact us for clarification.

Step

Description

1. Sign up / Sign in to eFile.com

2. Business section

To file your return including income from your 1099 Form, we recommend you simply start the tax interview so you can be walked through all of the income section. As you work, you will be brought to the Income section where you can add your 1099-MISC and/or 1099-NEC under the Business section. Form 1099-MISC can either be added to the Business section or the Other Income section. For example, hobby income could be added to the Other Income section. If you received a 1099-MISC for your business income, add it under Business so self-employment taxes can be calculated for you.

Business Income - eFile Screenshot

3. Add Your Business

Before you can add your business income from 1099, you must declare your business. If you do freelance work (delivering food, for example) or you own your own business, your income should be entered in the business section. As you work, eFile will generate Schedule C and Schedule SE so your pay the right amount of taxes. This allows you to enter business deductions, like vehicle mileage, and include them on your return. It is very important that you select that this form is for a business. eFile can only generate the proper forms when you select this and add your business information. Once your business is declared, you can then enter all income and expenses relating to your business.

4. Add Forms Manually

If you want to manually add forms, you can add a 1099-MISC or 1099-NEC by clicking on Federal Taxes/Review on the left menu. Here, select I'd like to see all federal forms and enter “1099” and both the 1099-MISC and 1099-NEC will be shown in the results among other 1099 forms. Add the respective form for your income by clicking the "+ Add form" button and work through the questions. If you are self-employed, click on I'd like to tell you about my business and proceed through the tax questions and provide your information.

1099 Forms - eFile Screenshot

5. Draft Copy of Your Return

As a self-employed person, you should have a Schedule SE in your return to pay self-employment taxes and a Schedule C for your profit/loss from business. You can verify that your return has these forms going to My Account and clicking on the PDF link next to Tax Year | In progress to view your draft return.

7: Need Help?

At any point, contact us with further questions if you are unsure of anything.

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