maglib
Level 10

State tax filing

@TaxGuyBill Publication 970 lets you choose to make a scholarship earned income or not . If earned income, then it can count as support test and can then allow a student to claim themself.  <a rel="nofollow" target="_blank" href="https://www.irs.gov/publications/p970">https://www.irs.gov/publications/p970</a> see example 2 and 3  and the note for the scenario and the IRS giving you options.  I would then consider scholarships earned income next year as that may be the lower rate. The IRS is not specific.
**I don't work for TT. Just trying to help. All the best.
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I am NOT an expert and you should confirm with a tax expert.