If her earnings were reported to her in Box 7of a 1099-MISC, instead of on a W-2. then the income is considered "self-employment" income, and is reported as business income on Schedule C of her tax return. In that situation, she is considered the "owner" of her own business.
An employee's earnings are reported on a W-2.
**Answers are correct to the best of my ability but do not constitute tax or legal advice.
