Does a Full Time Student making under $10,000. pay taxes? 1099-NEC

My daughter is a FT student at college and in 2022 she made $6,500. She owes $490 in taxes this year.  Last year, she got all of it back ($80).  She did receive a 1099-NEC from summer work at my job. They did not take anything out and I am guessing that is it??  I submitted a SS-8 IRS form to investigate and determine, since she was suppose to be on payroll.

 

I thought you still had to pay in Social Security at any age, but was able to get Federal and State taxes back.  Is that correct?

Thanks in advance...