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If he can be claimed as a dependent but you or another taxpayer, then yes. If he cannot be claimed as a dependent, and then no, this does not have to be reported.
In TurboTax, after entering the 1099, continue to the page of special circumstances. Check the box for medical study. You will be asked if work was required as part of the study. Even though he may have been required to perform certain duties, this is almost never "work" for compensation as defined by the IRS, so you will check no.
Participation in a medical study is generally not considered "work" and is not subject to self-employment tax. However, if it was reported in box 7 of the 1099, the IRS may assume that it should be subject to self-employment tax and send your son a letter requesting more information. He would reply by sending proof of how he earned this money and that it was not earned by performing services for compensation (i.e. work).
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