How do i know if my employee tuition assistance should be reported

[Hal_Al · Accepted solution]

It's a little complicated. There's pre tax reimbursement and after tax reimbursement.

By law your employer can only give you $5250 maximum, tax free. If your tuition was less than that, and you employer reimbursed it all;  it's  safe to assume it does not need to be reported. You do not even need to enter your 1098-T. You have nothing to claim.

 If you got more than $5250, the amount above $5250 is usually already  included in box 1 of  your w-2 and you do not need to enter anything additional on your tax return.  Since you have essentially paid tax on that part, it  is considered your after tax money and that amount can be used  to claim the tuition credit.