Self-Employed I Received Form 1099-MISC… But I Don’t Own a Business! Read the Article Open Share Drawer Share this:Click to share on Facebook (Opens in new window)Click to share on Twitter (Opens in new window)Click to share on LinkedIn (Opens in new window)Click to share on Pinterest (Opens in new window)Click to print (Opens in new window) Written by TurboTaxBlogTeam Published Nov 23, 2016 - [Updated Jul 22, 2019] 1 min read We often get lots of questions asking what to do when you get Form 1099-MISC and you don’t own your own business, but you’re an employee of another company. Yet you get this form, what do you do with it? The short answer is: if your Form 1099-MISC shows an amount in Box 7 for non-employee compensation and it’s because you did consulting work or other services for someone and you received compensation, you DO now have a “business”! You’re now technically self-employed and have to file Schedule C to report that 1099-MISC income. This is a requirement – even if you didn’t actually receive a 1099-MISC for the work you did! The good thing about owning a business is the ability to deduct expenses related to your business while performing those services. Did you drive places during the course of the work you did? You can take a mileage deduction. Did you buy computer or office supplies to use during the consulting? Then you can deduct your office supplies or office equipment. Remember that you’ll be subject to self-employment tax on your consulting earnings… which is basically the self-employed person’s equivalent of social security and Medicare tax that employers normally withhold from your paychecks on a W-2, but hopefully all of your deductible expenses will still save you money on your taxes. Don’t worry about knowing these tax rules. TurboTax will ask you simple questions about you and your business and give you the tax deductions and credits you are eligible for based on your answers, saving you money for your business. Previous Post A Self-Employed Guide to Health Insurance Next Post Freelancer Taxes: Tax Tips for Freelancers Filing for the First… Written by TurboTaxBlogTeam More from TurboTaxBlogTeam Leave a ReplyCancel reply Browse Related Articles Crypto Understanding Crypto and Capital Gains Work 7 Things You Need to Know About the New Business Report… Work Using Form 8829 to Write-Off Business Use of Your Home Tax Tips Roth 403(b) vs. Roth IRA: Which Should You Invest In? Life Interest Rates, Inflation, and Your Taxes Investments Essential Tax Tips for Maximizing Investment Gains Uncategorized TurboTax is Partnering with Saweetie to Elevate Hoop Dr… Business Small Business Owners: Optimize Your Taxes with a Mid-Y… Small Business The Benefits of Employing Your Children and the Tax Bre… Income and Investments Are Olympics Winnings Taxed?