College

[rfboseman]

My daughter was a freshman in college last year and was awarded a scholorship that covered 90% of her tuition. Why is it saying that her scholorship counts as income and she needs to fil out a W2 and report 14,000 as taxable income. This is confusing. The scholorship paid for room and board, books, and other fees. My out of pocket expense was her meal plan. 

[DoninGA]

See this TurboTax support FAQ for information on why scholarships may be taxable income - https://ttlc.intuit.com/community/college-and-education/help/why-is-my-scholarship-taxable/01/26267

[rfboseman]

So, how does this work? How can this be written off? I've got friends who's kid got the same amount and they did not have to complete a W2 for the child and it was not counted as income for them.

[DoninGA]

See the answer provided by @Texas Roger  here - https://ttlc.intuit.com/community/college-education/discussion/questions-about-scholarships-and-taxe...

[DoninGA]

Also see this TurboTax Tax Tip - https://turbotax.intuit.com/tax-tips/college-and-education/taxes-for-grads-do-scholarships-count-as-...