@Opus 17 I appreciate your input. In the case of my wife, the stipend check was just over $900, just a few $100 over the $600 to even require that they hand out a 1099.
I have read the IRS definition of independent contractor
and it says:
You are not an independent contractor if you perform services that can be controlled by an employer (what will be done and how it will be done). This applies even if you are given freedom of action. What matters is that the employer has the legal right to control the details of how the services are performed.
It seems that the case may be reasonably argued that this is not self employment income, but is it worth the hassle with dealing with the IRS? It's a shame that a program designed to help teachers is causing so much hassle and possible extra expense from having to consult with a CPA.
