MILITARY 1099

[AnnieR]

Client is in the military, he got a "bonus" of $1000 because a friend of his signed up. This is shown on a 1099 from "Document and Packaging Brokers, Inc" as

Non-Employment compensation (Box 7). Is there anyway to report this without having to do a C-EZ and SE? The young man is not in the recruiting business but that's the way the military treats it.

AnnieR

[JohnH]

I'd put in on Line 21 and not do a Schedule SE.

Include an explanatory note on the line "Military Recruitment Bonus - per IRC Sec. 183".

(Thanks to Taxbilly in a previous post for that last part of the entry)

He might get questioned about it and you'd maybe have to write a letter, but I have a feeling IRS is seeing lots of these. If there's a W-2 from the military they should be able to add up the facts.

[AnnieR]

I'd put in on Line 21 and not do a Schedule SE.

Include an explanatory note on the line "Military Recruitment Bonus - per IRC Sec. 183".

(Thanks to Taxbilly in a previous post for that last part of the entry)

He might get questioned about it and you'd maybe have to write a letter, but I have a feeling IRS is seeing lots of these. If there's a W-2 from the military they should be able to add up the facts.

Thank you very much.