NMF Scholarship and taxes

lisa6191
Thu, 27 Feb 2014 14:43:37 +0000

@allyphoe - the code section you cited is part of a larger section pertaining to US citizens living abroad. Are we sure the same rules apply to citizens living in the US?

The point of the Kiddie Tax is to prevent people from evading taxes by putting their own investments into their children’s names. It doesn’t seem like scholarship money should be treated the same way. Of course they have the right to make the law anything they want, but it seems like this change, if it is in fact a change, is contrary to the spirit of the law.