My employer is going to partially reimburse the tuition for classes I took in 2017 in January 2018 pay stub. I paid $3395 for my tuition and my employer is going to reimburse $2376.50. How do I enter my 1098-T?
Because the reimbursement is not until 2018, you could claim $3395 as the tuition you paid in 2017. However, that will make the reimbursement taxable in 2018. The simpler thing to do is reduce the tuition you paid by the reimbursement you expect and claim the remainder for credit in 2017. That way, no future adjustments or corrections will be needed.
Your employer does not have to include the tuition reimbursement in your pay stub. This is as long as you are not a highly compensated employee (meaning a 5% owner or earned $120,000 in the previous year). See IRS guidance: https://www.irs.gov/pub/irs-pdf/p15b.pdf
You will need to enter the employer reimbursement in TurboTax under the Education Summary section, select Scholarship and Grant, Employer Assistance is on the next page. This will adjust your education credit.
It will not affect your 1098-T. That comes from your school and does not take into account employer educational assistance.
Your employer can use the tuition reimbursement as a business deduction up to $5,250. Over that amount it must be included in your wages.
[Edited 01/17/18 | 6:18 pm]