Tuition and Scholarship

[svoelkel1]

My child's tuition for college was $42,198 and she received scholarships for $36,500.  Why is Turbo Tax saying she has to claim the $36,500 as income on her return?

[KurtL1]

The Form 1098-T includes the amount of Payments received for qualified tuition and related expenses (Box 1) and the amount of Scholarship and Grants (Box 5). 

Review the entries you made on the entry of the form to verify that you entered the $42,198 in Box 1. 

[svoelkel1]

Yes, that's what was entered in box 1.  Not sure what is going on.  This is her third year and nothing has changed.  Do you think it's a glitch in Turbo Tax?

[LinaJ2020]

Try to remove the Form 1098-T and related education forms, then re-enter the information.  

To delete forms, here are the steps in TurboTax online:

1.  Sign in to your account, select Pick up where you left off

2.  To your left, Select Tax Tools/drop-down menu

3.  Select Tools

4.  Under Other helpful links, choose to Delete a form

5.  Select Delete next to Form 1098-T / 8863 / 8917 and Continue with My Return to proceed

Then re-enter the Form 1098-T:

• At the right upper corner, in the search box, type in "1098t" and Enter
• Select Jump to 1098t
• Follow prompts - make sure to answer the step-by-step interview questions carefully and correctly.