AmeliesUncle thank you for your reply. I see that you have suggested three different options:
Option 1: not to report 1099-misc (box 7) and provide explaination when IRS sends a notice about it
Option 2: report the amount in Box 7 as "Self Employment" income, then enter an equal deduction to zero it out (resulting in a $0 self-employment profit).
Option 3: The other option is to file your tax return without that amount from Box 7, and then respond to the IRS notice when you receive it.
If I go with option 2, where exactly do I report the deduction to zero out so the resulting of self employment profit is $0 ?
