Hello DianeW777
Thank you for your reply. Appreciate it.
I am in a pickle now on which path to take to avoid the self employment (fica) taxes on this onetime stipend income :
[1] Remove 1099 NEC form and follow your instructions to report the stipend under "Scholarships/Grants"
or
[2] Use 1099 NEC form and chose HOBBY.
Which one is safer to not trigger an IRS audit ?
Since the IRS has received these 1099NEC details from the payer and expecting self employment taxes.
The earlier version of TT provided more details for the HOBBY option like below.
This is NOT money earned as an employee or self employed individual ; it is from a sporadic activity or hobby
Here is the link
https://ttlc.intuit.com/community/self-employed-group/discussion/my-1099-nec-form-was-from-an-intern...
I will wait for your guidance. Thanks
