TN 23 (06-10)
RS 01402.420 Health Professions Scholarship Program
Any payment by the Department of Veterans Affairs (VA) or the Department of Defense for student's tuition, educational expenses or a stipend under the Health Professions Scholarship Program is not wages. Such payments are not wages for computation purposes nor earnings for deduction purposes because the payments are not remuneration for employment.
Reference: P.L. 92-426, the following link discusses contract for scholarships: payments http://heinonline.org/HOL/Page?collection=statute&handle=hein.statute/sal086&id=755#760