Scholarship/Stipend

Forum|Forum|1 year ago
February 20, 2025
1 reply
0 views

My child receives a full education scholarship that pays for tuition and books. They also receive a stipend for living expenses while attending school. How is the stipend taxed? I have seen both to claim as self employment income and to add in to other income that did not receive a 1099. We did receive a 1099 Misc for this income but it is not self employment and if I go that route, information is asked about the business and a code is needed. I do not have this information as this is not a business or actually income from work. Please help. My child did have earned income of about $10,000 for the year in addition to this stipend.

TurboTax PLUS Online

KrisD15

Enter the 1099-MISC following these steps:

Enter the 1099-MISC Under

Wages & Income
Other Common Income
Income from Form 1099-MISC START
Enter the 1099-MISC as it was reported, Type "Stipend" in for the description,
Select "None of these apply" for uncommon situations,
"NO" not like main job,
only got it in 2024,
"NO" no intent to earn money, DONE
These are TurboTax questions, not IRS questions. These need to be the answers to let TurboTax know it is not Self-Employment.

This will be reported on Schedule 1 line 12

This will not be reported as a scholarship since it was reported on Form 1099-MISC

This will be taxed as miscellaneous income, not subject to Self-Employment tax.

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