My son sold popcorn for scouts this year and received a 1099-MISC listing $1,000 in Box 3 Other Income. On top of this, he also received a 1098-T for $1,163.03 in Box 1 and Box 5. He has not received this scholarship.
No, he still has a couple of years in high school. The money was made fundraising for him in Boy Scouts.
The scholarship income is not taxable, as it appears it was used to pay tuition & fees. However, the 1099-MISC might be taxable for self-employment taxes depending on the type of income received. If it was attributed to prizes & awards for sales of the popcorn, it is not subject to self-employment. If this was your son's only source of income, he will not have a filing requirement and there is no need to prepare a return.
Strange that he got a 1098-T. Where did that come from? In any event, since the amount in box 1 is the same as box 5 they cancel each other out so you don’t have to deal with that. In addition, the other income of $1000 is below his filing requirement (although he would cancel that out as well if he did file) so you don’t have to file a return for him.