Federal rule requires the issuance of a 1099-K,G,NEC,M...for any deductible transaction(from the payor perspective) to the individual or entity who received the income.
The recipient should file a Schedule C(sole proprietorship) to reconcile any expenses against the income and derive the net income(loss) which is then added(subtracted) on the individual's 1040.
If no C is included, then the taxable amount is what is on the 1099. Also, if there is taxable income, self-employment tax is calculated at the rate of 15.3%. This is the full social security(FICA) tax. An employ