1099-NEC and 1099-Misc

[peggysioux]

Taxpayer is a retired journeyman who is still involved with the union for which he receives a yearly 1099-NEC for a little over $2000 each year for which he reports on a Schedule C. However, in 2021 he was elected to attend a conference for which he was paid $6000 for per diem expenses and was reported on a 1099-Misc as "other income". The total of his actual expenses for attending conference was only $2500. I would think the $6000 should be reported on the Schedule C as well but would like input from other tax preparers. Should the 6,000 be reported on Schedule C or as Other Income on 1040 so that self-employment tax won't apply?

PeggySioux

[ATSMAN]

I have a client that is retired from active duty police due to an injury BUT works with the state the Police Union as a rep for our area and receives a 1099-NEC each year for his services. He too attends various police conferences and is paid travel expense included in the 1099-NEC. We file Sch C and include mileage/airfare/hotel in the schedule C expenses like any typical Sch C.

The net profits are subject to SE, regardless.