Thanks. So there a paid internship program sponsored and paid for under the Department of Energy's Office of Science’s Office of Workforce Development for Teachers and Scientists (WDTS) which works in collaboration with DOE laboratories/facilities across the country. While you must be a college student with a 3.0 or higher GPA to be considered, I have trouble characterizing it as a scholarship/fellowship under IRS guidelines. It didn't take place at a university, nor was it directly related to the college program. Having said that, I would like to be enter it as such, and do it the way you said (not under scholarships on schedule 1, line R?) because then it would in fact not be taxed as unearned income, and the kiddie tax would not be triggered I believe.
