This incentive payment is predicated on her obtaining employment and practicing medicine in an underserved rural population, which she did, but is in no way self employed and doesnt do specific work tasks for the Payer of this incentive, a state department for workforce development.
If the income on the 1099-misc is not self-employment income, delete that 1099-misc and delete the Schedule C. Then re-enter the 1099-misc as follows.
Under Other Common Income, select Start or Revisit next to Form 1099-MISC. Enter your 1099-MISC info on the Let's get the info from your 1099-MISC screen and click Continue.
Answering differently to any of those three questions will imply self-employment and generate Schedule C. If it is self-employment, you can use your name and home address as the business address. And if it is not self-employment, don't forget to delete the Sched C that was erroneously started.
I need to enter a 1099 - Am I Self-Employed?
How to delete forms in TurboTax Online