@sect199a wrote:
I am not a tax expert. My child is in a similar situation. My understanding is that because the child in this question is a dependent, on his tax return his standard deduction is the greater of $1100 or his 'earned income' plus $350, both capped at the non-dependent single standard deduction of $12,500. Since the child has no earned income, he would be required to file a return, and pay income tax on all but $1100 of the stipend.
No. Even though a scholarship in excess of tuition is "unearned income" for most tax purposes, it is considered "earned income" for the kiddie tax. See here,
https://www.irs.gov/pub/irs-pdf/p929.pdf
