With the increasing numbers of students attending colleges and university and the rising cost of higher education, many students hope to receive some form of scholarship to pay a portion or all of their tuition. An article written by Nielse & Hopkins explains how some scholarships could be considered taxable income to the student. With the signing of the Tax Cuts and Jobs Act (TCJA) into law in 2017, this income – which is governed by “kiddie tax” regulations – is taxed at estate and trust tax rates. Such rates can quickly climb to as much as 37%.