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I have a 1098-T with 17,540 in Box one. I also have a 6250 scholarship in box 5. Turbotax is saying that the scholarship is taxable income. How?

It is saying that the expenses were less than the scholarship which is obviously not true
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1 Reply
Hal_Al
Level 15

I have a 1098-T with 17,540 in Box one. I also have a 6250 scholarship in box 5. Turbotax is saying that the scholarship is taxable income. How?

You've entered something wrong. One possibility; you are asked if any of the scholarship was used for room and board. Answer no. Any amount entered there is treated as taxable (R&B is not a qualified expense).

 

Otherwise, try deleting the 1098-T (delete student) and re-enter. 

 

Why are you entering the 1098-T.  Are you the student or the parent. 

 

 Here's a post on the five main points on the  1098-T:

https://ttlc.intuit.com/community/college-education/discussion/i-need-help-with-1098t-section-colleg...

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