Federal tax implications of student study, research and travel awards for United States citizens
Congratulations on your award, which represents an amount intended for your benefit to aid in your pursuit of study or research and may be considered a taxable fellowship by the IRS.
Your award will not be reported to the IRS on either Form 1099 or Form W-2. However, your award may be includable in your gross income for federal income tax purposes.
The amount of your award includes any payments that were paid directly to you or were paid by the university on your behalf (for travel, lodging, etc.).
The university is not in the position to offer specific tax advice; however, in general, taxable fellowships are reportable as Wages, Salaries, Tips, Etc., on your federal income tax return. You may wish to seek advice from a tax professional that is specific to your own tax status and filing form.
You may also find the following IRS publications helpful:
- Publication 970, Tax Benefits for Education
- Publication 525, Taxable and Nontaxable Income
These publications may be downloaded from the IRS Forms and Publications Web site.
If you have questions about the information provide above, please contact Office of Finance at finance@pugetsound.edu.
United States (federal) tax implications of student study, research and travel awards for international students who are citizens of another country
Congratulations on your award, which represents an amount intended for your benefit to aid in your pursuit of study or research and may be considered a taxable fellowship by the United States Internal Revenue Service (IRS). The IRS is the federal agency with oversight responsibility for collecting United States taxes and enforcing United States tax laws.
Your award may be subject to United States (federal) income tax. This will depend, in part, upon the existence or absence of a tax treaty between your home country (the country where you hold citizenship) and the United States.
If your award is exempt from United States income tax under a tax treaty, you will need to make sure that you have filed the proper IRS exemption form with the university. If you do not file the exemption form, the university may be required to withhold (deduct) United States (federal) income tax from your summer research award.
If you have questions about the information provided above, please contact Office of Finance at finance@pugetsound.edu.