citizens don’t have to pay tax on scholarships. Why do internationals?
Actually, U.S. people are subject to tax on “non-qualified” scholarships. Most of them just don’t know it. Scholarship money that is not used for tuition, required books, required equipment, and required fees is supposed to be claimed as income on the payee’s tax return. The difference is that the IRS does not require us to do tax withholding or reporting on scholarships for U.S. grantees, but we DO have to do one or both for many of our internationals.
