dhkatz
New Member

My wife was paid a $1000 prize to use a particular website for a portion of her job. The prize was listed in Box 7 of a 1099-MISC. Is she considered self employed?

We asked the company if it should be moved to Box 3, but they said because she took steps to complete the prize, they are keeping it in Box 7 per their auditors. The work is like her job and she did intend to win the money, but it doesn't seem like she is performing services for the company and therefore shouldn't be self employed. The $1000 was just an incentive offered to use the website. If she is self-employed, do we really have to upgrade? She has no associated expenses.