[yoonk]

Hello,

Someone, please help me. I have spent my whole day trying to figure out how to file a federal income tax filing. It was very frustrating.

I am on a F-1 visa and a national of Republic of Korea (South Korea).

Q1. Last year, I received scholarship. It is a qualified education expense, and it is excludable. (I am a degree candidate, and it was applied directly towards the tuition. I never saw the money.)

In this case, where do I put this in? I am filling in a 1040NR right now. Do I not even need to put this into 1040NR because it is excludable? Or do I write it in Line 12 and also have it excluded by writing the same amount in Line 30?

Q2. Last year, I have done an externship and received a 1090-Misc for the stipend I received. Which line of 1040NR do I write this into? Is it Line 13 biz income?

In that case, do I do a Schedule C? The amount on 1090-Misc is $6,000. And where do I put that amount in Schedule C?

By the way, I am supposed to get $2,000 exemption under the tax treaty between US and Korea. So do I put this amount in the Other expenses of Schedule C and explain that it is a tax treaty exemption in Part V? (I am assuming that tax treaty exemption amount has to be written into Line 22 of 1040NR as well.)

I would greatly appreciate it if someone can point me in the right direction. I was surprised that even local IRS employees were not familiar with what to do in case of non-resident aliens.

I would be very grateful if you could answer me through this board. Thanks in advance.

Yoon Kim

[MukatA]

1. You are degree student and you report only taxable part of scholarship. Read scholarship and fellowship grants, Your U.S. Tax Return: The U.S. Income Tax Topics 1

2. Complete Schedule C-EZ (Form 1040). Do not complete schedule SE as you do not pay any SE tax. Put amount on line 13 of 1040NR. Put treaty exemption on line 22. Also put treaty exemption about on line 21 with negative sign or (amount). On line 21 write Exempt by treaty.