If an independent contractor (dog groomer) receives a 1099-MISC from her employer, should she see her reported cash tips in box 7 or in box 3?

[katie]

If an independent contractor (dog groomer) receives a 1099-MISC from her employer, should she see her reported cash tips in box 7 or in box 3?

[Just-Lisa-Now- · Accepted solution]

She should be reporting ALL her income as business income, whether she gets a 1099 or not.