Do I have to report scholarships and other academic awards on my return?

by TurboTax• Updated 6 months ago

Scholarships and other academic awards are considered income and you will typically receive the information on a T4A slip. However, the taxable amount of this income may be reduced if you meet eligibility requirements for the scholarship exemption. For more information, see Line 13010 – Taxable scholarships, fellowships, bursaries, and artists' project grants.

TurboTax automatically calculates your exemption (the amount you won't be taxed on) from the information you enter in box 105. Any remaining (taxable) amount is then included in the Other Income section on your tax return.

TurboTax Online has eight T4A-slip Box 105 categories for you to select from, depending on your particular situation.

Full-time scholarship: also have T2202 with months in Box 25
Part-time scholarship: also have T2202 with months in Box 24 (see Scholarship Exemption – Part-time enrolment, Line 1)
Part-time scholarship fees from T2202 used to reduce part-time scholarship income (see Scholarship Exemption – Part-time enrolment, Line 2)
Elementary/secondary student scholarships, grants, etc: not taxable
Other scholarships, grants, awards etc: taxable – eligible for $500 exemption
Other scholarships, grants, awards etc: taxable – not eligible for $500 exemption reported as Other Income
Other scholarships, grants, awards etc: received as business income
Other scholarships, grants, awards etc: received as professional income

TurboTax Download has five T4A-slip Box 105 categories for you to select from, depending on your particular situation.

Full-time scholarship: also have T2202 with months in Box 25
Part-time scholarship: also have T2202 with months in Box 24
Part-time scholarship fees from T2202 used to reduce part-time scholarship income
Elementary or secondary student scholarships, grants, etc: no T2202 received
Other taxable scholarships, grants, etc.

Add your scholarship amounts in TurboTax Online

Select Find from the menu.
Enter T4A and select T4A Pension, Retirement, Annuity, then select Go.
Select Enter new T4A.
Enter your scholarship or other academic award amount(s) in box 105.

Add your scholarship amounts in TurboTax Desktop

Select Find from the menu.
Enter T4A and select T4A Pension, retirement, annuity, then select Go.
On the Entering your federal T-slips screen, select the checkbox next to T4A.
Select Continue until you reach the T4A Summary screen.
Select Enter new T4A.
Enter your scholarship or other academic award amount(s) in box 105.