Tax help for daughter -- grad school fellowship question

Paying for College
1

<p>Hi all, </p>

<p>I've searched the forums because I know this question has come up before, but I can't find what I need. My daughter, a PhD student, is trying to do her taxes (she is married, filing jointly). Here is her question, if anyone can help her. Thanks so much:</p>

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<p>I've received several paychecks through an NSF fellowship this year. The amount from these checks is not listed on my W2 with my other stipend information. On my pay advices, the fellowship pay is just listed as "stipend" (the rest of the years is listed as "graduate faculty asst").<br>
My question is this: do I need to fill out a regular 1040 and a schedule SE for the fellowship paychecks I've received, or can I stick with a 1040ez? </p>

<p>Based on the information the NSF links on the FAQ page: Publication</a> 970 (2011), Tax Benefits for Education, it looks to me like I should just add the (taxable) amount I've received to line 1 of my 1040EZ and also write "SCH" and the taxable amount of my fellowship on the dotted line.<br>
In the "How to Report" section of the page I linked, the Schedule SE subsection is as follows: "To determine your net earnings from self-employment, include amounts you receive under a scholarship as pay for your services that are reported to you on Form 1099-MISC, Miscellaneous Income." </p>

<p>I don't receive a 1099-MISC, so I'm assuming I don't fill out an SE and can use the 1040EZ. Is this correct?</p>

2

<p>Organizations have until January 31 to mail out 1099-MISC and under some circumstances they have until February 15. She may be doing taxes too early and needs to wait to see if she gets one.</p>

3

<p>If this is her first year as a grad student on a stipend, be aware she me be required to make quarterly estimated payments in the future to avoid a penalty. It used to be that if you had nothing withheld you were OK the first year but thereafter required to do the estimated payments. It is a pain. I had an NSF fellowship too, and then postdoctoral fellowships later. I don’t know if the rules have changed. It’s been a while.</p>

4

<p>She does make quarterlies.</p>

5

<p>I think we used to file the EZ but can’t be positive. I was also married with husband also on a graduate stipend. It was never the full 1040, I don’t think. Maybe the 1040A. I don’t think we did the full 1040 until having a regular salary and a mortgage. </p>

<p>I am still missing several 1099s this season.</p>