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Level 2
June 3, 2019
Solved

I am a former foster child and my state Department of Human Services pays me a stipend 2x a month to help me transition into independent living. Is this taxable income?

  • June 3, 2019
  • 3 replies
  • 20 views
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Best answer by DanielV01

Usually it's not taxable income.  Most of the time these payments come from State Medicaid Waiver or similar programs that are not taxable.  If you did not receive a tax document for the income (a Form W-2, a Form 1099-MISC or similar document), there is no income to report.  If you did receive a document, you might have to report the income, but you can comment what type of document you received for additional information on this.

3 replies

DanielV01
DanielV01Answer
Level 15
June 3, 2019

Usually it's not taxable income.  Most of the time these payments come from State Medicaid Waiver or similar programs that are not taxable.  If you did not receive a tax document for the income (a Form W-2, a Form 1099-MISC or similar document), there is no income to report.  If you did receive a document, you might have to report the income, but you can comment what type of document you received for additional information on this.

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WCJERAuthor
Level 2
June 3, 2019
Thank you.