Where to file 1042-S income code 16

[sief]

I'm a non-resident and received a non-qualifying scholarship. My wife is a USC and we have elected for me to be resident for tax purposes. Where do I file my 1042-S income code 16?

I initially read it can be put under misc income. Is that correct?

[KrisD15 · Accepted solution]

It's scholarship income.

Enter under 

• Deductions & Credits
• Education
• Expenses and Scholarships (Form 1098-T)

Select "Yes" for the first screen "Do you want to enter your higher education expenses?" 

You can continue through without answering or entering any data until you get to the "Did You Receive a Scholarship or Grant in 2024?" screen

Select "Yes" enter the amount and Continue

The income will be on Schedule 1 line 8r

[sief]

Thank you, it was taxed, where do I list the taxes?

[DaveF1006]

Here is how you will enter the taxes paid on the 1042S after you reported in the manner that KrisD15 mentions in her  post.

1. With your return open
2. Click on Deductions & Credits
3. Scroll down to Estimates and Other Taxes Paid\
4. Click on Other Income Taxes
5. Scroll down Other Income Taxes
6. Click on Withholding not already entered on a W-2 or 1099

@sief 

[sief]

Hi,

Thank you. So we already filed our taxes, but reported it under Misc income and wrote 1042-S as the description. It showed that we will receive 500$ less in returns than the suggested way here (adding it to our 1098-T scholarships). As for the federal taxes we added them the way you suggested.

Would there be any problems with the way we filed our taxes? Other than, possibly less returns for us?

The reason why I didn't do it as was suggested earlier is that my 1098-T already has the scholarships box filled out, and the non-qualified too. I asked the payroll manager and she said that my scholarships in 1098 do not include the 1042-S as both are totally separate quantities. 

[DaveF1006]

No, filing the way that you did should not be an issue to be concerned about. You may wish to file an amended return though to get a bigger return but otherwise, the way you filed is fine.

[sief]

Thank you 😊, we will most likely make an amended return when turbotax let us.