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For the 2018 tax year, my wife would report a 1040-ES every quarter as her university did not withhold taxes from her paycheck. In 2019, she expected to make below the single standard deduction (made $10,500) so she didn't not fill out any 1040-ESs and wasn't going to file this year. We got married late 2019 and are now filling jointly. She also got a 1098-T from her university but all of that is nontaxable tuition payments.
Is her stipend + grant ($10,500) taxable if so, how does one do this on TurboTax?
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Does she get a 1099Misc for the stipend, etc? That is self employment income. Even though it is below the standard deduction she will still owe separate self employment tax on it. So she should have been sending in some 1040ES every quarter.
And when you file Joint the tax is calculated on the total income for both of you. But then you get a larger Standard Deduction of 24,400.
She does not get a 1099Misc. She was told that if she expects her stipend + grant to be below the single standard deduction that she doesn't actually have to submit quarterly.
a lot of times there is no form provided for these grants and stipends. HOWEVER, it still needs to be reported as income.
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