You do not have to enter Form 1099-MISC as self-employment income on Schedule C. I recommend doing two steps.
First, get rid of the erroneous Schedule C by following these steps:
- From the left menu, find Tax Tools
- Select Tools
- Select Delete a Form and scroll down to each and every Schedule C related sheet and delete them, one at a time.
Second, go back in and follow these steps by entering Form 1099-MISC in a different area that would then not be considered self-employment income.
- From the left menu, go to Federal and select the first tab, Wages & Income
- Add more income by scrolling down to the last option, Less Common Income, and Show more
- Scroll down to the last option, Miscellaneous Income, 1099-A, 1099-C and Start
- Choose the last option, Other reportable income and Start and Yes
- Enter the applicable description and amount and Continue
