The Office of Graduate Studies is now sending a listing of the GA taxable tuition benefits paid each semester on your behalf to the Payroll/Business Office. The Fall 2021 portion will be added to the taxable income on your November 30th paycheck. This will increase your tax liability and possibly your federal income tax deduction. This amount does not increase your net pay.
Here is an explanation of how the IRS treats assistantships:
Tuition benefits offered to graduate assistants are generally excluded from taxable income under section 117(d) of the Internal Revenue Code (IRC). However, section 117(d) only excludes from taxable income tuition benefits for graduate students who are engaged in teaching activities or research activities at the University. Graduate assistants not engaged in such teaching or research activities at the University cannot be excluded from taxable income under section 117(d). These assistantships do not qualify for the $5,250 exclusion.
