The 1099-MISC is a tax form used to report miscellaneous income for people who are independent contractors or self-employed. If you receive a 1099-MISC form, it is your responsibility to report all income listed on it just as you would income from businesses that employ you.
Use Line 7
As with income from W-2s, income from 1099-MISC forms should be reported on line 7 of the 1040 income tax return. Income reported on a 1099-MISC should be added together with all income from W-2s to arrive at the total value of your wages for the year. Income from 1099-MISC should NOT be reported on line 21, other income.
Reporting Self-Employment Tax
Unfortunately, you still need to pay taxes on money you earned as an independent contractor. Employers that give you a W-2 take that money out during the year, but companies that pay you as an independent contractor do not. You must therefore also use Schedule SE to estimate and report the self-employment tax you'll need to pay for the year.