You do not enter her earned income on your tax return.
If she is under the age of 19 you can claim her as a dependent under the Qualifying Child rules regardless of the income she earned. Provided that she lived in your home for at least 6 months of the year and she did not provide over one-half of her own support.
If she was an employee and will receive a W-2 she is not required to report the income unless taxes were withheld then she should file a tax return to get the taxes refunded to her. If she does file a tax return make sure that she indicates on her tax return that she can be claimed as a dependent.
If she was self-employed and not an employee then she is required to file a tax return to report her self-employed income and expenses since her self-employed income is $400 or more. She reports the income on Schedule C of the federal tax return, form 1040.
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