It depends upon what the funds were used for.
Scholarships are taxable if used for the following items:
- Room & board
- Travel & incidental expenses
- Any fees, books & supplies not required for classes
Scholarships are not taxable if used at an eligible school for a degree if:
- Tuition & fees
- Fees, books, supplies needed for classes
- Scholarship or fellowship for services from:
- National Health Services Corps Scholarship Program
- Armed Forces Health Professions Scholarship & Financial Assistance program
You can update your input by doing the following if you determine the scholarships should be allocated to tuition or room & board, as it was awarded to you:
- Go to the Federal section of the program
- Select Deductions & Credits
- Select Expenses and Scholarships (Form 1098-T)
- Select Edit to review your information for the 1098-T
You can edit your input for this section under the Scholarship tab as indicated below.
I'm using turbo premier, I do not have the window you show in the picture you pasted. The $47,997 in the second picture includes the $43,357 scholarship money reported in line 5 of the 1098-T. If you're not familiar with turbo premier, please seek help from one of your colleagues (when i posted my question I was asked to tell which software, the picture you posted seems to be from the online platform).
This is what I see:
