Well, starting with tax year 2018 there’s a potential for the tax to be zero on the $11k stipend, assuming a dependent student can take the full $12k standard deduction and has no other income. If the student has other income things become complicated in figuring the tax. That tax thread was very informative, along with various IRS publications. It will be interesting to see how everything shakes out with the taxes. My plan is to help S put the correct taxable scholarship total into reputable software like TurboTax and pay whatever the program says S owes. It would be great if it turns out that the whole scholarship is covered by a $12k standard deduction and TurboTax calculates zero tax, but I will also be prepared for the other extreme with thousands owed in tax.