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    LAKERSNY's Avatar
    LAKERSNY Posts: 1, Reputation: 1
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    #1

    Mar 20, 2008, 12:20 PM
    1099 nonemployee compensation
    :confused: I am retired. I was used by an automobile dealer to dx cars between dealerships. The dealer sent me a 1099 misc, nonemployee compentation for what they paid me last year. Where do I report this on form 1040? Will I need to set up a business and get a license?:confused:
    Mobea's Avatar
    Mobea Posts: 220, Reputation: 15
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    #2

    Mar 20, 2008, 05:01 PM
    You file a Schedule C and SE. Deduct any expenses that you may have incurred while doing this job. You job description could be "courier" and look up the code for that. You will have to pay federal and social security and medicare tax on this net income also. The net income goes on your 1040. You can go to the IRS website and look up items that are deductible for self employed. No you do not have to get a license for this. You just use your own name and home address as your business name and address.
    Fr_Chuck's Avatar
    Fr_Chuck Posts: 81,301, Reputation: 7692
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    #3

    Mar 20, 2008, 05:54 PM
    Ok, once you are working as a private contractor, you are in business, if your area requires a business license that is between you and your city and is not related to the IRS. If you had expenses relating to your busienss you show this on schedule C.
    MukatA's Avatar
    MukatA Posts: 7,110, Reputation: 176
    Tax Expert
    		  
    #4

    Mar 20, 2008, 11:52 PM
    You will file schedule C and SE (Form 1040).

    Read: Your U.S. Tax Return: W2 or 1099: Employee or Independent Contractor.
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