Question

Scholarship/Fellowship Stipend Issue

Forum|Forum|6 years ago
February 26, 2020
1 reply
0 views

Dear Turbotax,

It has brought to my attention of that there is a wage/stipend issue when I am filing my 2019 returns.

I was in a fellowship program for grad school which covers tuition, the program was required one year participation. I join on August 2019 and withdraw from the program on October 2019. Therefore, the program took the amount that they paid back and I paid the full tuition amount for the seamster. However I found out that the program reported a wage in the amount $10,000 under my ss for 2019.

The first question is in my scenario what is the best way to file my tax returns for 2019 since they reported the $10,000 as my wage?

Second, what are the documents should I request from the program to have a clear understanding of how they calculate the $10,000 wage, due to the fact that they did not provide any W2 or miscellanies taxable/non taxable form for the reported wage.

Third, is there any violations/frauds involved for the program fund allocation due to I was only in the fellowship for 2 months?

Thank you very much.

Not A Product Question

LeonardS

The answer to your first question on how to best file your stipend is to follow these steps:

With TurboTax open select  Wages & Income click on I'll choose what I work on
Scroll down to Less Common Income and select Miscellaneous Income, 1099-A, 1099-C
On the next page, select Other reportable income
On the page, Other Taxable Income enter Stipend in the description.

 This will put the income on Schedule 1 Line 8 of your Form 1040, as required by the IRS.  You will pay state and federal income tax on the amount, but it will not be subject to self-employment tax.

The answer to your 2nd & 3rd questions is beyond the scope of this community.

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