It will tell you that the Kiddie tax form 8815 is trigger (and you can't use the free edition of TT) but there is no actual kiddie tax because his taxable income is $0 (his standard deduction is more than the $11K "earned/hybrid income"). See the calculations on form 8815.
Q. Other than trying to override the schedule 1 to get the information on line 8r, how do I answer the questions in TT to get it to go there?
A. The way to enter stipend/scholarship income, in TurboTax, is at Deductions and Credits / Education / Expenses and Scholarships.
After answering no to having a 1098-T*, answer yes to qualifying for an exception (that gets you to the entry screens). You will have to go thru the whole education interview to get to the scholarship screen. At the scholarship screen, enter the amount of the grant. When asked if any was used for room and board, answer yes. Then enter the amount you want to be taxable (usually all of it), in the pop up box. R&B are not "qualified educational expenses". So, this is how you tell TT that it is taxable. Note the wording at that screen “or other expenses”. You didn’t have to literally use the scholarship for R&B. This will put it on line 8r of Schedule 1.
*If you do have a 1098-T, one of the follow-up questions will be do you have any scholarships not shown on the 1098-T. Enter the additional scholarship/stipend there.
