File Tax Form or not?

Paying for College
1

<p>My son earned a $1500 stipend for a summer internship in 2004. The program director said if the funds were not used for college they would need to be reported as income on tax forms. The bulk on the money is still in his bank account and will e used for college. On the FAFSA and CSS profile he indicated he would be filing a tax return for 2004 but since the $1500 was the only money earned I suggested he not file a return and send his college fin aid office an explanation why he wasn't filing a return.... Is that a good idea?</p>

<p>Thanks</p>

2

<p>Will he receive a 1099-MISC for the $1500?</p>

<p>In the event that you don't report this, I'd be sure I could fully document (with receipts) that the $1500 was used 100% for education expense.</p>

3

<p>no, he's not getting a 1099.
Just 2 checks stubs...LOL</p>

<p>He's filled out the 1040EZ with $1500 from scholarships listed and of course his tax liability is $0...just wondering if there is any downside to going ahead and filing the form...probably make some IRS clerk shake her head...</p>