Originally Posted by cbelinsky
Thank you Wnhough!
Your the first person to give me an answer with an explanation that makes sense -- and I have talked with numerous people about this.
Just as an addendum: the payroll office at my University said the IRS is changing the rules about how Universities report information on a 1098-T. In the future (not sure which year), Universities will be reporting on the 1098-T when money is dispersed to the student, not just when money is collected by the University. That change would have made the reporting much clearer to me.
I see; however as said aslong as you report taxable income, portion of th efellowhsip , in your case , when you actually receive it, then there won't be no problem with IRS/your home state at all.