Skip to main content
April 13, 2025
Question

Taxable Scholarship reporting in PA for dependent

  • April 13, 2025
  • 1 reply
  • 0 views

My daughter has scholarship money that was used for Room and Board, and therefore taxable Federally. We didn't realize this until after she filed, and are now trying to file an amended return. The Federal form updated correctly, but I didn't see the information on the updated State form. Is that right? Where should it appear on the State form? Or is it not relevant?

1 reply

April 15, 2025

It depends heavily on the state.  Some states don't  tax scholarships.  What state did you file?

 

@jtcadd 

**Say "Thanks" by clicking the thumb icon in a post**Mark the post that answers your question by clicking on "Mark as Best Answer"
jtcaddAuthor
April 16, 2025

@RobertB4444 

Hi Robert,

 

This is for PA.

 

Thanks

April 17, 2025

Generally scholarships are not taxable in PA. PA taxes it based on how it was earned versus what it was used for.  Meaning if it was used to help further your education it is not taxable. 

If it is taxable income it will appear with Gross Compensation which is on line 1 of your PA 40. 

What are the criteria for excluding a scholarship, fellowship or stipend from PA taxable compensation?

**Say "Thanks" by clicking the thumb icon in a post**Mark the post that answers your question by clicking on "Mark as Best Answer"