in Education
I work at a university and my daughter is attending this university. One of my employee benefits is my daughter's tuition is paid by the university (I didn't pay then get reimbursed--as the university paid for it directly). What do I enter under the question for 1098-T: "Enter the full amount of tuition paid to __College. Include all amounts paid by (my daughter), someone else, scholarships, fellowships, and student loans." This is confusing as it states to include tuition paid by someone else. Box 1 is blank, box 5 is blank, but there are supplemental information included below the 1098-T form of what the university charged and covered, and another section of other payments they charged and what we paid to the university (specifically room, board, other fees and extra classes not covered). Can I include in the amount of "tuition paid" what the university paid as well as what I paid, or strictly what I paid out of pocket only?
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Q. Can I include in the amount of "tuition paid" what the university paid as well as what I paid, or strictly what I paid out of pocket only?
A. Only out of pocket and only out of pocket for qualified expenses (room and board are not qualified expenses for the tuition credit).
What you have is tuition remission or tuition waiver, rather than a scholarship. For tax purposes those are treated differently from scholarships. You could think of it as a price discount. The school has done it correctly by leaving boxes 1 and 5 blank.
Q. Can I include in the amount of "tuition paid" what the university paid as well as what I paid, or strictly what I paid out of pocket only?
A. Only out of pocket and only out of pocket for qualified expenses (room and board are not qualified expenses for the tuition credit).
What you have is tuition remission or tuition waiver, rather than a scholarship. For tax purposes those are treated differently from scholarships. You could think of it as a price discount. The school has done it correctly by leaving boxes 1 and 5 blank.
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