A participating board member but do not own a business or self-employed with the business. Why do I qualify for qualified business income?

[elmer-kristie]

Received a 1099-NEC, but after the questions that were answered, qualify for the qualified business income. But I do not own the business or are self-employed with the business. Why or how do I qualify for this?

[DaveF1006]

Yes, according to this Turbo Tax post, you would report this as Self-Employed income because the company did not withhold federal income, social security or Medicare taxes from your income. As a result, you are responsible for any and all additional taxes you potentially owe. 

Since you are responsible for these additional taxes as a self-employed person, you are eligible for QBI. Note, in the post it mentions that you should have been issued a 1099-MISC. This is an older post and the 1099-MISC has been replaced by a 1099-NEC. The tax code however still applies regardless of the tax form that was issued.