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New Member
posted Feb 14, 2022 4:43:50 PM

I dropped out of school and i havent paid it back yet but i owe the school 2000 from where i recievied grants and loans so exactly how would i file that in my taxes?

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3 Replies
Expert Alumni
Feb 14, 2022 4:54:27 PM

Student loans where you paid interest are deductible on your return. Since you have not paid back anything, you have not paid any student loan interest and have nothing to put on your return. Regular loans are not a part of your tax return. 

New Member
Feb 14, 2022 5:04:34 PM

Thank you for that info but I was more curious about the part of the $2000 that I have to pay back that come from grant money. Because grant money you do have to put on your tax forms. But if I have to pay it back would it be the same as loans and basically I don't need to even include that school on my taxes because it would cancel itself out or what?

Level 15
Feb 14, 2022 6:00:11 PM

Your grant has been converted to a loan. So, it is no longer tax free assistance.  You may claim a tuition credit based on the amount that was paid for tuition, even though you didn't complete the courses.

 

 Did you get a form 1098-T from the school?  What was in box 1 and box 5?