jaoh
Level 2

Is an REU summer research stipend considered Unearned Income for dependent student?

Working on daughter's taxes (dependent). Is an REU (research experience for undergraduates) summer program through the NSF (school distributed 1099-Misc box 3 for the amount) - considered Unearned Income? The University considers this a stipend.  This was at a college during the summer for which she is not pursuing her degree.  Doesn't really seem like it should be hit by the kiddie tax... thanks