1099 includes reimbursement of expenses

[Bip63]

What is the name of your state (only U.S. law)? Missouri

I received a 1099-MISC form from a company I don't work for (based in CA). They paid me some money last year and also reimbursed me for my travel expenses. The money reported on the 1099 includes that reimbursement. It looks like I'm going to have to pay taxes on it. Obviously I need to pay for the regular payment I received, but I don't think I should have to pay for the travel expenses I was reimbursed for.

How do I handle this? I have the receipts for the travel if I need to write those expenses off somewhere.

Thanks a lot

[FlyingRon]

You report the income on Schedule C Part I.
The expenses are deducted in Schedule C Part II.

The expenses get subtracted from the income. Only the result gets put on your main 1040 form as income.

[HomeGuru]

Originally Posted by Bip63

What is the name of your state (only U.S. law)? Missouri

I received a 1099-MISC form from a company I don't work for (based in CA). They paid me some money last year and also reimbursed me for my travel expenses. The money reported on the 1099 includes that reimbursement. It looks like I'm going to have to pay taxes on it. Obviously I need to pay for the regular payment I received, but I don't think I should have to pay for the travel expenses I was reimbursed for.

How do I handle this? I have the receipts for the travel if I need to write those expenses off somewhere.

Thanks a lot

**A: it is a wash. Income from 1099 and Schedule C travel expense.

[Bip63]

Thanks a lot. That makes me feel better. I didn't know if I had to call the company up or not.