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Scholarships, Fellowship Grants, Stipends and Similar Payments

Definitions

  • Scholarships - Amount paid to, or for the benefit of, a student at an educational institution to aid in the pursuit of studies. The student may be an undergraduate or a graduate.
  • Fellowships - Amount paid to, or for the benefit of, an individual to aid in the pursuit of study or research.
  • Scholarship Prizes - Amount won ;by or awarded to a student at an educational institution to aid in the pursuit of studies. The student may be an undergraduate or a graduate.
  • Pell Grants and Other Title IV Need Based Education Grants - Need based grants are treated as scholarships for purposes of determining their tax treatment.
  • Qualified Tuition Reduction - Allows you to study tuition free or for a reduced rate of tuition. Is only qualified if you receive it from and use it at an eligible educational institution.
  • Veterans Benefits - Payments received for education, training, or subsistence administered by the Department of Veterans Affairs (VA). These payments are tax free.

Resources

Dartmouth College

Internal Revenue Service

Last Updated: 10/10/12