You do not add your son's earned income on your tax return. He has to file his own tax return and since the income is from a 1099-NEC, he will include a business Schedule C on his return. You can still claim him as a dependent on your tax return. But when he completes his tax return (or you do it for him) make sure that the ''someone else can and will claim me'' boxes are checked. This will ensure no one's return gets rejected. @EllieWS
The income he earned while refereeing games is considered self-employment. He is, for tax purposes, the owner of his own business. He can deduct expenses related to that income on Schedule C. When setting up the 'business' in TurboTax, he can use his own name and address for the business which keeps it simple.
Even if you're a dependent, you'll generally need to file your own 2020 tax return if:
- Your earned income (money you made by working) exceeds $12,400
- Your unearned income (interest, dividends, capital gains, etc.) exceeds $1,100
- Your business or self-employment net income (gross minus expenses) is at least $400
- Your gross income (earned plus unearned) exceeds the larger of $1,100 or your earned income (up to $12,050) plus $350
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