Standard Deduction for 1099 NEC

Yes, that would be correct.  She will not owe any federal income taxes since her income is less than $12,950.  However, since the income was from self-employment she will owe Self-Employment taxes on her net self-employment income.  The tax is 15.3% (includes both employer and employee Social Security taxes and Medicare taxes)

The standard deduction amount for an individual who may be claimed as a dependent by another taxpayer cannot exceed the greater of $1,100 or the sum of $400 and the individual’s earned income (not to exceed the regular standard deduction amount).

 

 

If your child has self-employment income on a 1099NEC they owe self-employment tax for Social Security and Medicare.   

 

 

https://ttlc.intuit.com/questions/2926899-how-does-my-side-job-affect-my-taxes

 

https://ttlc.intuit.com/community/self-employed/help/how-do-i-report-income-from-self-employment/00/26653

 

https://ttlc.intuit.com/community/self-employed/help/what-is-the-self-employment-tax/00/25922

 

https://ttlc.intuit.com/questions/2902389-why-am-i-paying-self-employment-tax

https://ttlc.intuit.com/questions/1901340-where-do-i-enter-schedule-c

 

 

https://ttlc.intuit.com/questions/3398950-what-self-employed-expenses-can-i-deduct

 

 

https://ttlc.intuit.com/questions/1901110-do-i-need-to-make-estimated-tax-payments-to-the-irs

 

 

https://turbotax.intuit.com/tax-tools/calculators/self-employed/

 

Thanks.

I am not claiming her as a dependent. I am only helping her with her own tax return.

Thanks, so if she has any job-related expenses, can she deduct those and pay lower tax? If yes in what schedule? Schedule C?

Yes ----any business expenses can go on Schedule C.  Caution--commuting to and from work is not an expense that can be entered.   If your child drove during the work day for job-related reasons, that mileage can be entered.