1098-t

[Momofboys]

We will claim our son on our taxes.  He received a 1098-t from his university.    The amount in box 1 is the amount that was paid to the school by a lender via student loan. (I am a co-signer). My question is..  can we still enter this and earn the tax credit ?   We also have other school related expenses to enter as well.    This is new to us and I’m afraid of making any mistakes.  Thank you .  

[NCperson]

it's complicated....

key the 1098-T  EXACTLY as you see it;the loans don't have any bearing on this 

also, if the student is a dependent of someone else (normally of the parents) AND BOX 1 is greater than BOX 5, then the form goes on that someone else's (the parent's) tax return. 

if the student is NOT a dependent of someone else OR BOX 5 is greater than BOX 1, then the form goes on the student's tax return.  In many cases the student's income may be low enough that no tax return is required to be filed and that is fine. 

follow the TT prompts on  other expenses, but do note that not all expenses are deductible (e.g. room and board)

TT will calculate any AOC credits automatically

do you have a 529 plan / 1099-Q - that makes it even more complicated, but doable if you follow the prompts slowly and carefullt

[Momofboys]

Complicated.....sounds right!   But...Thank you....This is very helpful!   We do not have a 529 or 1099-Q.  So I guess... that’s good and bad.   

I truly appreciate your assistance!