re: Tax Question - Grad Assitant

127 sets the threshold of $5250, it's a qualified educational assistance plan

117 sets out a full exemption for tuition waivers of grad students involved in teaching and research activities.

Also look at pub 970

There probably is a code that needs to be put into TT.

Also, the amounts she is taxed on, she may be able to also use for educational credits and deductions.