I should clarify that this question came up whilst preparing her tax return, which I was doing anyway because of other earned income. I didn't know how to enter the 1099-MISC amount on her return but prior posts of this nature led me to enter it as less common income as I mentioned. Since the amount exceeded $2200, the first $1100 is tax-free and the second $1100 is taxed at her marginal rate, which would be 10%. However, the remainder is taxed at the marginal rate of the parent. Since this was an educational award paid directly to the school, I was wondering if there is a way to enter the information and 1) pay no taxes or 2) only pay taxes at her rate.
