I can't seem to find an exact answer on this and I'm getting confused as to how I should proceed. I'm 20, in college, and I live away from my parents. They *could* claim me as a dependent but they are not going to. how should I go about my 1098-T since they assist in paying for what's left of my college after scholarships and what not. If I had to guess off the top of my head, it's probably split 60/40 between my parents and me, respectively. I cover everything else related to my living expenses with what I make off working (eg: books, food, gas, etc.)
If you pay for over half of your own support, then your parents can't claim you anyway. (see below). In that case, you enter your 1098-T on your tax return and can include any amounts your parents paid on your behalf for education costs.
If you don't pay for over half of your own support, you need to mark your return that someone else "can" claim you as a dependent. They are the ones who should claim you, and also enter the education information on their tax return (including the amounts you paid).
Otherwise, nobody will benefit from the education credits. Then, the IRS may send you a letter asking for taxes on scholarships that don't have associated expenses.
Support does not include: