You guys were of great help last year to clear my confusion on 1042-S. I hope that is the case this year as well.

I have understood on how to handle the scholarship amount on 1042-S on the federal 1040 form. Basically if you are a degree candidate and any amount that you earn in excess of the tuition that we paid is taxable.

This excess amount has to be included in line 7 of the 1040 form with the mention of SCH...

My question is regarding state taxes for the amount earned on 1042-S

1) There was no state tax deducted on form 1042-S. I am deducted 14% federal tax on the amount that I earned.
2) So when I file my state tax do I have to include my total income as ( amount on W2 + excess amount on 1042-S)
3) For state tax purposes only, is the amount on 1042-S not taxable ?

Hi,

I thought I was not clear enough in the earlier post. Hence posting again

My question is regarding filing for state taxes (Maryland) for the amount earned on 1042-S

1) There was no state tax deducted on form 1042-S. I am deducted 14% federal tax on the amount that I earned.
2) So when I file my state tax do I have to include my total income as ( amount on W2 + amount on 1042-S)
OR
For state tax purposes only, is the amount on 1042-S not taxable ?

Your help is most appreciated.

Yes include W2 plus only the taxable portion of 1042-S.