Hello,
I am a U.S. tax resident for 2024, and I received both a W-2 and a 1042-S form for the year. I am a French researcher currently on an H-1B visa (previously on a J-1 visa). My 1042-S form reflects scholarship income for the months of January and February 2024.
My 1042-S income (code 16) is subject to a 14% flat tax rate as indicated in box 3b. I entered this income as Wage & Income -> Other Reportable Income. However, TurboTax seems to be applying the standard tax brackets to this income, which doesn't reflect the 14% rate.
Could someone help me with the following:
- How can I ensure that the 14% tax rate is applied to the scholarship income from the 1042-S (Box 2)?
- If TurboTax doesn't automatically apply the 14% rate, is it possible to manually adjust the tax owed to reflect this rate?
Thank you for your help!
