Workers compensation is not taxable and does not get entered on a tax return. You cannot use it to get refundable child-related credits. You say you have a "1099" but there are more than a dozen kinds of 1099's. You have not mentioned what kind you have or how much it is for.
Who has to file?
http://www.irs.gov/uac/Do-I-Need-to-File-a-Tax-Return%3F
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