<p>Has your child done an REU research project over the summer in which their housing was provided and they received a stipend? Maybe even transportation costs covered?</p>
<p>Can anyone tell me how this is covered for tax purposes? Is this considered taxable income for the student?</p>
<p>Any help appreciated.</p>
<p>According to our tax records from a couple of years ago, it looks like it was taxable and we did pay tax. The REU site(college or Uni) should be able to provide W-2, etc for tax purposes. May have to contact their payroll/accounting office.</p>
<p>From my recollection their wages are taxable income (they will send a W-2). I don’t think their room & board are taxable - it may be considered a requirement of the job. In any case, room & board did not show up in the W-2, which indicates to me that it is not taxable. There may be folks who are more expert in taxes who have a more precise opinion.</p>
<p>[Research</a> Experiences for Undergraduates - Leadership Group](<a href=“http://nsf-reu.org/resources.htm]Research”>http://nsf-reu.org/resources.htm)</p>
<p>Look at the heading–Participant payment ideas.</p>
<p>I appreciate your comments. This whole area is rather confusing to me.</p>
<p>Unless they earn a significant amount no tax filing is required by the student.</p>
<p>They will get a W-2 form and even if no Federal tax is withheld often state income tax is withheld. They may need to file returns to get a refund of an overpayment of income tax.</p>
<p>Our state has no income tax. :-)</p>