How to Report 1099 K Income on Tax Return
Report it on Form 1040 if you are self-employed., Report it on Forms 1065, 1120 or 1120S if applicable.
Step-by-Step Guide
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Step 1: Report it on Form 1040 if you are self-employed.
If you're self-employed or an independent contractor, you'll report your 1099-K income on Schedule C of form
1040.
To report your 1099-K income on this form, simply enter your gross 1099-K income on line 1a of Schedule C.
Your 1099-K income is separate from your earnings received by cash, check or any other means.
List the total income received by these methods on line 1b.
To calculate your gross receipts for the year, add the amount from line 1a with the amount from line 1b.
List the full amount on line 1d.
You’re responsible for keeping track of any business expenses you had and reporting them as deductions on your Schedule C. -
Step 2: Report it on Forms 1065
If you have a partnership, corporation or an S corporation, you'll report your 1099-K income on line 1a of your form.
Find your gross 1099-K income and list it on the correct line.
Your 1099-K income is separate from your earnings received by cash, check or any other means.
List the total income received by these methods on line 1b.
To calculate your gross receipts for the year, add the amount from line 1a with the amount from line 1b.
List the full amount on line 1d.
If you're filing taxes for the 2011 tax year, there is no special line for 1099-K income.
Add your 1099-K income to your other receipts and enter the total on line 1b. -
Step 3: 1120 or 1120S if applicable.
Detailed Guide
If you're self-employed or an independent contractor, you'll report your 1099-K income on Schedule C of form
1040.
To report your 1099-K income on this form, simply enter your gross 1099-K income on line 1a of Schedule C.
Your 1099-K income is separate from your earnings received by cash, check or any other means.
List the total income received by these methods on line 1b.
To calculate your gross receipts for the year, add the amount from line 1a with the amount from line 1b.
List the full amount on line 1d.
You’re responsible for keeping track of any business expenses you had and reporting them as deductions on your Schedule C.
If you have a partnership, corporation or an S corporation, you'll report your 1099-K income on line 1a of your form.
Find your gross 1099-K income and list it on the correct line.
Your 1099-K income is separate from your earnings received by cash, check or any other means.
List the total income received by these methods on line 1b.
To calculate your gross receipts for the year, add the amount from line 1a with the amount from line 1b.
List the full amount on line 1d.
If you're filing taxes for the 2011 tax year, there is no special line for 1099-K income.
Add your 1099-K income to your other receipts and enter the total on line 1b.
About the Author
Natalie Gutierrez
Specializes in breaking down complex home improvement topics into simple steps.
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