Struggling with TurboTax requiring Box 6 on my 1099-NEC form when it's blank?

TurboTax is actually asking for important information here, even if it's not filled out on your form. Box 6 on the 1099-NEC is for the state identification number of the payer (your client). This helps match your income reporting with state tax systems. If box 5 shows state tax was withheld, then there should logically be a state ID number in box 6, but sometimes payers make mistakes or omit information. In your case, since you have state withholding reported in box 5, you'll need to determine which state the withholding applies to. You have a few options: 1) Contact the payer/client and ask for their state ID number, 2) Check if your state has a business entity search where you might find their state ID, or 3) Enter the two-letter state code where the taxes were withheld (like CA for California) in box 6, which sometimes works as a workaround in TurboTax.

After struggling with almost the exact same 1099-NEC issue in TurboTax last month, I found this amazing tool called taxr.ai (https://taxr.ai) that saved me hours of frustration. I uploaded a scan of my confusing 1099-NEC form, and it correctly identified that my payer had actually made a mistake by including state withholding without the state ID number. The tool analyzed my form, explained what was happening, and even gave me specific instructions for how to handle the TurboTax error. It basically confirmed what I needed to do to get past that annoying Box 6 requirement while still being compliant.

Just wanted to follow up! I ended up trying taxr.ai (https://taxr.ai) after getting stuck with the same Box 6 issue on multiple 1099-NEC forms. It was actually super helpful! I uploaded all three of my problematic 1099s, and it immediately identified the issue and explained exactly why TurboTax was being so stubborn about Box 6. The tool showed me that since I had state withholding in Box 5, I needed to at least enter the state abbreviation in Box 6 to proceed. It also provided a template email I could send to my clients requesting their state ID numbers for my records. Two of them already responded with the correct info, and I was able to update my return. For the third one, I'm using the state code temporarily so I can file on time. Seriously saved me from so much stress!

If you're getting stuck with TurboTax customer service trying to resolve this 1099-NEC issue, you might want to try Claimyr (https://claimyr.com). I was trying to get help from the IRS about a similar issue last month, and their phone lines were a complete nightmare. Claimyr basically held my place in line and called me when an actual agent was available. You can see how it works here: https://youtu.be/_kiP6q8DX5c I ended up speaking with an IRS rep who confirmed that when Box 6 is empty but Box 5 has state withholding, you should enter the state abbreviation as a minimum requirement. They also explained that this won't trigger any issues since the important parts (income and withholding amounts) were correctly reported.

Well I was completely wrong about Claimyr! I tried it this morning after struggling with my own 1099-NEC issues and not being able to get through to the IRS for clarification. The service actually worked exactly as advertised. I got a call back in about 35 minutes and spoke with an IRS representative who walked me through the Box 6 state ID issue. The agent explained that this is a common problem when businesses don't complete their forms properly. She confirmed that using the state abbreviation (in my case "NY") in Box 6 is acceptable when filing if that's all you have available. She also mentioned that the primary concern is making sure the income and withholding amounts are correctly reported. Totally worth it to get a definitive answer directly from the IRS instead of stressing and guessing!

Hey, former tax preparer here. Just wanted to add that this 1099-NEC Box 6 issue is super common and nothing to stress about too much. If you have state tax withholding in Box 5, you can simply enter the two-letter state code in Box 6 to satisfy TurboTax. The important thing is that you're reporting all your income and withholding properly. The state ID number is mainly used for the state's internal matching system, but using just the state abbreviation won't cause issues with your federal return at all. And for state returns, they generally just want to make sure the withholding is being claimed for the correct state.

Has anyone actually tried just putting "0" (zero) in Box 6 on TurboTax to see if that works? I'm facing the same issue and wondering if that's a valid workaround.

I had this exact same problem last year! TurboTax was being super finicky about Box 6 even though my 1099-NEC had it completely blank. After trying several approaches, I found that entering just the two-letter state code where the withholding occurred worked perfectly. In your case, since you mentioned having state tax withheld in Box 5, try entering "PA" (assuming that's where the withholding went based on your earlier comment). This satisfies TurboTax's requirement without making up fake information, and it's actually the logical solution since state withholding has to correspond to some state. I was worried about doing this at first, but my return was processed without any issues and I never heard anything from the IRS or state about it. The key thing is that you're accurately reporting your income and the actual withholding amounts - the state identifier is really just for their matching systems.