From the IRS website: Topic no. 421, Scholarships, fellowship grants, and other grants | Internal Revenue Service (irs.gov...
Generally, you report any portion of a scholarship, a fellowship grant, or other grant that you must include in gross income as follows:
- If filing Form 1040 or Form 1040-SR, include the taxable portion in the total amount reported on Line 1a of your tax return. If the taxable amount wasn't reported on Form W-2, enter it on Line 8
IRS asks to enter scholarships/fellowships/grants on Line 1a (wages), that is earned income. I would think the stipends are treated the same way. Even grant is considered earned income. Based on this logic, stipends should be earned income too. Am I interpreting it correctly?
