1099-Misc

[peggysioux]

Taxpayer received a 1099-Misc from Union for working on a committee of Union. Would other tax preparers determine that self-employment tax needs to be calculated? He did say he will continue to be on committee ongoing so not a one-time thing but he is not looking to make a profit and it is not a business.

Peggy Sioux

[TAXNJ]

See The Tax Book 23-8 as it applies to your scenario:

What box amount reported? If box 7 see below:

Box 7. Nonemployee compensation. Enter nonemployee compensation of $600 or more. Include fees, commissions, prizes and awards for services performed as a nonemployee, and other forms of compensation for services performed for the taxpayer’s trade or business by an individual who is not employed by that business. Include oil and gas payments for a working interest whether or not services are performed. Also include expenses incurred for the use of an entertainment facility treated as compensation to a nonemployee.

l

[Uncle Sam]

The issue is whether or not the person is subject to SE tax.

[TAXNJ]

Then see article:

https://www.thetaxadviser.com/issues...-story-01.html

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