Can an Indian international student with a F-1 visa, who is a resident for tax purposes, claim Tax Treaty benefits for stipend income given by their University?

[chdllk87]

Can one use TurboTax to check if the treaty applies?

[pk · Accepted solution]

when did you come into the country with F-1, when was the adjustment  from F-1 to H1 or are you still on F-1?  Is the stipend income used only for education or for living expenses also? Is it from the US Univ. or from India?

Namaste ji

[chdllk87]

Thank you replying and taking interest. The question pertains to a PhD student at a US university who
entered the US on an F-1 visa in Aug 2013 and continues in F-1 status. The student receives a stipend from their US university for doing research required to complete their PhD; this stipend can be used to cover living expenses.

[pk]

Article 21 of the US-India tax treaty only restricts  to zero taxation on stipends received from India ( for  students from India ). It further  requests that students from India get the same treatment  as students from USA  on  stipends/ scholarships  issued to the student by the US institution/ sources.  Since US students  are taxed on stipend amounts  NOT used for education purposes, you will be treated the same as well.
Does that clear up your situation?

Are you the student or is this a third person ?