If I am trying to get the Wisconsin homestead credit- it is asking me "Scholarships, Fellowships, Grants..." Do i have to add mine and my wife's pell grant in that box?

[nowonderone]

I am a renter and in the nontaxable household income page it mentions "Scholarships, Fellowships, Grants, Military Compensation or Cash Benefits" When I pressed learn more it didn't clarify anything, and I really want to know if I have to add it or not?

[DaveF1006]

To clarify, do you have any of those items that you declared as taxable income in your return. If so, these need to be included.

[nowonderone]

No, I don't. I called the Wi Department of Revenue but he didn't seem that confident on what to do so he was trying to look it up, but when he read it over he said that he thinks all grants should go there. Does that sound true?

[DaveF1006]

To clarify, did you receive grants for the year? If so, what kind?

@sabrinarodriguez1129 

[nowonderone]

Pell grants but they didn't exceed our expenses. 

[DaveF1006]

Yes, according to the State of Wisconsin, Pell Grants are included as household income in determining the Homestead Credit for the year. 

Homestead Household Income

[nowonderone]

Thank you for your help. I think I may have to claim some of the grant now though, because looking into it more my pell grant covered my tuition/ school fees but I also received a couple of state grants on top of it so with my loan refund I must have received a couple hundred directly to me after the grants were used to pay my tuition. Do I add up my grants for each semester and subtract what the school charged me that semester to calculate what to claim as income, since that's the amount that went directly to me and I used it for living expenses? If I claim a portion of these grants as income, then do I subtract the amount I claim as income from the total amount for the Homestead credit question about nontaxable income? I appreciate any insight. 

[KrisD15]

Student loans do not count, but Scholarships and Grants do, whether they were used to pay education or not.  You need to claim the entire award. 

[nowonderone]

Is that true? Everywhere I am reading that the only part of your grant that is taxable income is the portion that you get and can use however you choose, the amount that goes to the school for tuition and books isn't taxable. I would include only the nontaxable portion on the homestead credit, and claim the portion that was refunded directly to me as taxable income...

[KrisD15]

Scholarships and Grants would count whether the income is taxable or not. 

According to the state of Wisconsin:

“ "Household income" includes certain nontaxable income such as social security and supplemental security income (SSI) benefits; pensions and annuities; unemployment compensation; capital gains; contributions to IRAs and Keogh, SEP, SIMPLE, and deferred compensation plans; court ordered support money and maintenance payments; scholarships, fellowships, and grants; military compensation; interest on U.S. government securities; county relief benefits; cash public assistance (Wisconsin Works (W2), kinship care, etc.); and all depreciation and depletion claimed in computing Wisconsin taxable income. This list is not all-inclusive. Refer to the ​Schedule H, ​Homestead Credit Claim, lines 9a through 11j, and the Schedule H and H-EZ instruction booklet for a list of "household income."

[nowonderone]

I’m talking about what I have to claim as income. 

[nowonderone]

If I claim a portion of my Pell grant as income on my taxes, then I would not claim portion that I claimed as income on the non taxable income portion for the homestead credit? 

[KrisD15]

Scholarships and Grants count as income for calculating the Wisconsin Homestead Credit. 

If you are ADDING to your Adjusted Gross Income and part of the scholarships/Grants are already in that number, then yes, you do not add that amount in a second time. 

In other words, the full amount is in the final number. 

If part is already included, then only add what is missing. 

[nowonderone]

Yes that is what I was trying to confirm.