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I am a PhD student and I received a 1099-MISC from my university for funds they paid me to cover off-campus education expenses. How do I write off these expenses?

 
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ThomasM125
Expert Alumni

I am a PhD student and I received a 1099-MISC from my university for funds they paid me to cover off-campus education expenses. How do I write off these expenses?

If the form 1099-MISC reports the income in box 7, then by default it is considered self-employment income. Consequently, when you enter it in TurboTax, depending on how you answer the questions in that section, the income will be considered self-employment income, and as such you will be allowed to deduct the education expenses as a business expense.

 

Otherwise, it will be considered "Other" income and it will be more difficult  to effectively deduct the education expenses. Your only option then would be to enter the expenses in the "Education" section of TurboTax, and then "Expenses and Scholarships (form 1098-T)." When doing so, you may be entitled to a Lifetime Learning credit or you may be allowed to deduct the expenses, depending on your education status and amount and source of income you report on the tax return.

 

 

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