Scholarships

Forum|Forum|3 years ago
March 25, 2023
3 replies
0 views

Hello,

If my 1098-T for 2021 shows $1728 for payments received for qualified tuition expenses, and only $432 for scholarships, did I need to report that $432 as income in some other section of my tax return?

DoninGA

Level 15

No. Since your scholarship is less than your tuition payments there is no need to enter the scholarship anywhere else on your tax return.

MichaelG81

Level 7

No, only if Box 5 is greater than Box 1 of your 1098T may it possibly become taxable. You can include qualified educational expenses and may even qualify for an education tax credit if Box 1 is greater than Box 5, generally. Unless it specifically tells you to report as income, it'd be reported in Personal Income, Other Income, Other Reportable Income, Scholarship Money, Amount.

@Charlotte7598

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Charlotte7598Author

Level 4

Uh oh. Box 1 says $0 for 2017, box 2 $36,000, box 5 $35,000.....am I in deep trouble?

I see it says on my return "Reconcilation of box 2: amount NOT PAID during 2017 $0, amount actually paid during 2017 $36,000." If that makes a difference.

Charlotte7598Author

Level 4

Ok, so I did get a full tuition scholarship for 3 years. For 2017, tuition billed was about 36,000 and scholarship was 35,000. So, is it that all along, the scholarship I was getting for free tuition for all that money should have been reported as taxable income?