AI answer to google search for are stipends taxable:
How you report a stipend depends on your relationship with the payer:
- Employees: Taxable stipends are often reported on a Form W-2 in Box 1. Employers typically withhold income, Social Security, and Medicare taxes from these payments.
- Non-Employees/Contractors: Payers may not withhold taxes. If the amount exceeds $2,000 in 2026 (increased from $600 in 2025), you may receive a Form 1099-MISC or 1099-NEC.
- Students: Taxable portions not reported on a W-2 should be reported on Form 1040, Schedule 1, Line 8r as "Scholarship and fellowship grants".
- International Recipients: Nonresident aliens are usually subject to a 30% withholding rate (which may be reduced by tax treaties) and receive Form 1042-S
