From the 1098-T do I include the amount that is paid for her staying in the dorm?

[kaybug1097]

When entering my daughter's 1098-T on my tax return (her mother) it asks if any of the money from the 1098 was used for room and board.  She stays in the dorm and is charged $3250 per semester do I answer yes and put that amount in the box?  She has scholarships, grants and student loans and all monies are used.

[MichaelMc]

Room and board charges paid to a college or university are neither tax deductible nor are they qualifying education expenses for purposes of the American Opportunity Tax Credit or the Lifetime Learning Credit.

Amounts reported in Box 1 and Box 2 of Form 1098-T should include only qualifying tuition and fees, not room and board charges. If your daughter received a combination of financial aid that exceeded the tuition and fees, record the amount from Box 5 in TurboTax, then continue in the  Easy Step interview to carefully answer all the questions about how that money was used. This will result in you getting the correct tax credit and avoiding having any of the scholarship classified as taxable income. For more information, please refer to Why Is My Scholarship Taxable?