TurboTax is indicating that my child's Education Assistance Counts as Income. The explanation is that scholarship income exceeds educational expense. This makes no sense to me as here are the numbers:
1098-T Box 1 $21,300
1098-T Box 5 $15,000
Student Fees not in Box 1 $1,050
Books $969
Room & Board $4,980
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You've entered something wrong. The education interview is long and confusing.
You may want to deleted and start over*. With your numbers, it's only necessary to enter the 1098-T. No other amount need be entered.
This assumes he's not a grad student and/or you didn't take a 529 plan distribution.
*Go through the entire education interview until you reach a screen titled "Your Education Expenses Summary". Click delete next to the student's name. You'll then get the "Your Education Expenses Summary" screen again. Click the "Add a student" button.
Thank you for your reply; this is a great recommendation. Somehow Box 7 was checked in the 1098-T entry screen. Although I don't recall doing this, a thorough review of the process corrected the situation.
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