If the 1099-MISC reflects income for someone who is self-employed, you would link (press F9) from line 1 of the Federal Schedule C to a New 1099MISC.
If it was miscellaneous income as a subcontractor or babysitter, etc., link from line 21 of page 1 of Form 1040 to a New 1099MISC. If it is income that needs to be reported on Schedule E, link from line 3 for Rents or line 4 for Royalties on Schedule E. Complete this form exactly as it is on the form that you received from the payer.
Note: If this is considered non-employee compensation, it should probably be reported as earnings from self-employment on Schedule C. If this is not done correctly, the IRS will send a letter to the taxpayer asking for proof that this should not be self-employment income. Check with the taxpayer to see what type of income the form is reporting, and see the Schedule C or Schedule SE instructions to find where this should be reported. There should also be information on the back of Form 1099-MISC to help you with this conclusion. If you are still in doubt, check with the payer or with the IRS.
This information applies to all years of the UltimateTax software.