I'm having a surprisingly hard time discovering this information, perhaps a current grad student can help. I know that income from a stipend is considered taxable income, so I must pay federal income taxes on it. But what about payroll taxes? Will the school withhold the usual amounts for these? My other tax question is on tuition & tuition reimbursement. I have seen some information stating that tuition reimbursement is taxable, other information stating that is not taxable. Does anyone know the right answer?