It sounds like you may be being taxed as self-employment income on this 1099-NEC. Since you did not work for them, when you enter the 1099-NEC, you will come to questions afterwards. Select this was received for Sporadic Activity or a hobby. This will change this income from self-employment income to Other Income which is how it should be reported.
Note, this is not a question on the tax form, it just tells TurboTax where to report it.
Having it treated as other income will not avoid the taxes altogether, however, it will avoid the 15.3% self-employment taxes.
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