After entering the 1099-Misc
On the next screen Describe what the payment was for
On the next screen select "none of these apply"
On the next screen select "No it didn't involve work like my main job"
On the next screen select "I got it in 2017" ONLY. Do NOT say you will get it in 2018, even if you expect that you might.
On the next screen select No, it didn't involve intent to earn money
TT will put the amount on line 21 of form 1040 as other income.
Although theoretically you can deduct the some of the entry fess (up to $959, the amount of the winnings); from a practical matter, they won't be deductible. Hobby expenses are only deductible as an itemized deduction and are subject to the 2% of AGI threshold.
. (2% rule explained: https://ttlc.intuit.com/questions/2902781-what-is-the-2-rule)
