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Get your taxes done using TurboTax
Our daughter also 'earned' $ from a college internship and received a 1099-NEC. I can see where to enter the information from the form received. An NEC form says at the top that it is for is for Nonemployee Compensation. So, I would take it from that, that the entity paying the student didn't consider them an employee.
In the follow-up Turbo Tax asks if the income is:
-from owning a farm
-income that should have been on a W-2 instead
-from a lawsuit settlement
-not earned as an employee or from self-employment, (rather) from a sporadic activity or hobby
-a Medicaid waiver payment
-none of the above
If the entity issued an NEC then they aren't considering the student an employee, yet the student didn't consider themselves self-employed. So it is correct to choose that it is from sporadic activity? Or should 'None of the above' be chosen?
Thank you.