What if my books and supplies were included in my tuition entered in Box 1? Why is turbo tax is telling me that there were no net qualified education expenses.

[mmorty25]

Do I need to deduct the actual amount I spent on books and supplies from my total payment in Box 1 and enter that amount separately?

[Hal_Al]

It's unusual for a school to include  books and supplies  in Box 1 of the 1098-T, but not unheard of. 

Q.  Do I need to deduct the actual amount I spent on books and supplies from my total payment in Box 1 and enter that amount separately?

A. No.  It's actually easier if they are included. TurboTax is telling you that there were no net qualified education expenses is unrelated to that issue.  The usual reason is that the box 5 amount is more than box 1.