Taxpayer is a US citizen and was a full time teacher in the US through June 2011. She received a $30,000 scholarship to pursue her masters degree at the University of Toronto (Canada).
In 2011, she used $24,000 of the scholarship money towards tuition and fees for the 2011-2012 school year at the Univ of Toronto, retaining the $6,000 balance for the 2012-2013 school year.
Is this reported any differently than if she was attending a US college? (The $30,000 would have been a full 2-year scholarship at Canadian citizen rates and must, obviously, be converted to US dollars on her US tax return.)
Is the entire $30,000 scholarship received in 2011 excluded from her
2011 tax return? Or, is only $24,000 excluded with the balance reported in 2011 as income and any tuition paid in 2012 (the remaining $6,000 in scholarship money plus more) used towards a tuition credit next year? I presume no tuition credits In 2011 since the income is not reportable in 2011?