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-   -   Completing Form 1040 with a 1099-Misc and a 2555? (https://britishexpats.com/forum/usa-57/completing-form-1040-1099-misc-2555-a-707647/)

hisokajp Mar 2nd 2011 11:59 am

Completing Form 1040 with a 1099-Misc and a 2555?
 
My wife, an US citizen living abroad will be filling her tax as married filling separably using a Form 2555 for her Foreign Earned Income exclusion. She then put the total of Form 2555 line 45 in form 1040 line 21 in parentethis. Up to here it is business as usual, however this year she was awarded compensation for a lawsuit in the US and received a 1099-MISC form to declare on this year 1040.
Does the total amount on the 1099-MISC box 3 need to go on the 1040 live 21 as well? In the "Other income" section?
If that the case do you "squeeze" in both the 2555 amount next to the 1099 amount or so you add one another and only put the total while referencing both forms next to the box?

thank you

Michael Mar 2nd 2011 6:24 pm

Re: Completing Form 1040 with a 1099-Misc and a 2555?
 

Originally Posted by hisokajp (Post 9212907)
My wife, an US citizen living abroad will be filling her tax as married filling separably using a Form 2555 for her Foreign Earned Income exclusion. She then put the total of Form 2555 line 45 in form 1040 line 21 in parentethis. Up to here it is business as usual, however this year she was awarded compensation for a lawsuit in the US and received a 1099-MISC form to declare on this year 1040.
Does the total amount on the 1099-MISC box 3 need to go on the 1040 live 21 as well? In the "Other income" section?
If that the case do you "squeeze" in both the 2555 amount next to the 1099 amount or so you add one another and only put the total while referencing both forms next to the box?

thank you

Line 21 is the total and is accumulative. However you may want to make sure that correct taxable amount was reported on the 1099-MISC. Although the 1099-MISC may be correct, check the amount received against the award to make sure that lawyer fees, reimbursement for physical damages, and medical bills were deducted from the 1099-MISC. Check the following link under "Court awards and damages" as to what is reported as income.

http://www.irs.gov/pub/irs-pdf/p525.pdf


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