Is a one-time stipend taxable?

[lefaulk6]

I didn't receive a 1099-R. Federal Income Taxes were withheld.  I only received a letter at the time of the direct deposit.

[Leonard · Accepted solution]

Yes, a one time stipend is taxable.

However, if you are paid a stipend, it isn't considered wages so you won't pay Social Security or Medicare taxes on it. But, it still counts as taxable income for income tax purposes. Your employer won't withhold any income taxes from the stipend. 

To report a stipend in TurboTax Deluxe

With TurboTax open select Federal taxes and then select Wages and Income.

Select I'll choose what I work on.

Scroll down to Less Common Income.

Select Miscellaneous Income.

Select Other reportable income, when asked Any other Taxable Income? click  yes.

Enter your stipend amount and click continue.