Question

I have a question about 1099-MISC Box 3 — How do I report a Form 1099-MISC with an amount in Box 3?

Answer

The amount shown on Form 1099-MISC Box 3 is usually from one of these:

  • Prizes
  • Awards
  • Taxable damages
  • Certain benefits of a deceased employee
  • Medical research participation payments
  • Legal damages
  • Indian gaming profits
  • Other taxable income

You’ll usually report this income on Form 1040, Line 21, as Other income. This is taxable income not subject to self-employment tax. When the income reported on Form 1099-MISC Box 3 is from your trade or business, report it with your business income.

Related Topics

Related Resources

If I sold some employee stock shares through an online brokerage and taxes were taken out at the time of the sale, do I

If you sold stock through an online brokerage and had taxes withheld, you'll need to use Form 8949. Learn more from the tax experts at H&R Block.

Estimated Tax Form 1040ES

Do you need to file estimated taxes each quarter? Learn more about quarterly tax payments and get tax answers at H&R Block.

Form 4684 – Theft and Casualty Losses

Learn more about IRS form 4684 and get tax answers at H&R Block.

After filing my taxes, I realized I forgot to claim some deductions and credits. The deductions and credits don’t affect

Forget to add credits or deductions to your return? Use Form 1040X to amend your taxes. Learn more from the tax experts at H&R Block.