It does appear that the income is taxable, but as a family caregiver you would not need to pay self-employment taxes.
On your tax return you are reporting to settle income taxes and employment taxes (social security/medicare). When a form 1099 is issued it normally indicates that the receiver is self-employed and will pay all the employment taxes, called self-employment taxes which is social security and medicare taxes. That is in addition to tax on the income.
Per this IRS instruction family care providers are exempt from the self-employment taxes on income for providing that family care. However, the tax on the income is not excludable and is reported on a form 1040 for individual taxes. Here is how to enter the income in TurboTax.
1. Click "Income & Expenses" at the top of the page
2. Scroll down to "Less Common Income"
3. "Show More"
4. "Start/Revisit" "Miscellaneous Income"
5. Describe as "Family Caregiver"
This will show on Schedule 1 line 8 that carries to Line 7A on your 1040. No self-employment taxes.
The VA does have a program for Veterans enrolled in the Caregiver Support Program where a stipend is paid to the family caregiver and that is not taxable. However, a 1099 would not be issued for those payments. You should contact the VA for more information on your caregiver status. Here is a fact sheet with more information.
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