Does anyone have experience with the Kiddie Tax for unpaid international summer internships/fellowships that do cover expenses such as the student’s airfare and lodging? I’ve reviewed several tax publications, but I’m still unsure how this will affect us. I’d like to get our quarterly withholding as close to accurate as possible.
No help here but we will be in the same boat. Will it make a difference if the money comes from a foreign government? I know for d’s summer internships through DAAD Rise in Germany she has to open a German bank account and I know turbo tax asks about foreign bank accounts but don’t know how they factor that in.
Who knew college kid’s taxes could be so complicated!
I’d like to know if there is some difference in treatment of stipends where most of the $ went to pay for room and board and stipends that were on top of free R&B.
You can ask the internship sponsor if they are going to issue a 1099.