Graduate Fellowship Appearing As Unearned Income
Hello, in 2024 I was a California permanent resident while attending university in Illinois. For the final few months of the year I became a graduate student and received a W-2 for most of my income (which had Illinois and Federal taxes withheld). I also received a Graduate Fellowship totaling a little over 2600 for FY 2024. My W-2 and this fellowship stipend are my only income except for a small amount of stock dividends which I figured I would be paying California tax on.
I am able to correctly enter this for the Federal Tax Return and I am able to designate that all of this income was Illinois income for the Illinois Tax Return. However, for the California tax return it seems to believe that my Fellowship stipend is "unearned income" and is making me fill out my parents (who are both California residents) income for this year (Form 3800).
Is this correct? And if this is the case wouldn't I be double taxed on this income as I would be paying Illinois income tax on the stipend + a California unearned income tax on it.