My child received 1099-MISC for winning chess tournaments, ~$2000, Is it earned income or unearned income? Thanks!

[BurakG]

Is the amount reported on box 7 or box 3?

[Mickyly]

box 3

[Mikki]

Box 3 is prize money . Unearned income. Go through the 1099 Misc flow.

[Mickyly]

but when I got to child income, no price money option

[BurakG · Accepted solution]

It is reported as other income and it is unearned income. This income will not be subject to Social Security and Medicare taxes.