Why sign in to the Community?

  • Submit a question
  • Check your notifications
Sign in to the Community or Sign in to TurboTax and start working on your taxes
New Member
posted Apr 16, 2023 2:00:48 AM

Did Your Aid Include Amounts Not Awarded for 2022 Expenses?

Hello,

So I use my grant money credit to pay off my rent for 2023 and was wondering if I can include this money  here or if I don't

0 2 520
2 Replies
Level 15
Apr 16, 2023 4:57:36 AM

Q. I  was wondering if I can include this money  here or if I don't?

A. It's not clear what you man by "include this money  here".

 

Scholarships money used to pay for room and board, is usually considered taxable income.  But it doesn't matter what you actually did with the money.  What matters is how much did your scholarship exceed your adjusted qualified education expenses (AQEE), basically how much does box 5 of the 1098-T exceed box 1. 

 

The main "Adjustment" to QEE is the amount used by the parent (or student) to claim an education credit. 

Expert Alumni
Apr 16, 2023 5:01:49 AM

Grant money can be used for more than just tuition, but it has to be used in for the year it is paid.  If you made the payment in 2023, it is credited to 2023.

While many people assume that Pell Grants are just for paying tuition, the funds can be used for much more. Any school-related costs, from room and board, to a new laptop, to travel expenses to and from school can be covered with Pell Grant funds.