Why is the loan amount listed in box 1 of 1098-T?

mtmmkm · ‎January 27, 2023

MarilynG1 · ‎January 27, 2023

Box 1 on the 1098-T is the total amount that was paid to the school for education expenses. That amount could include loans, grants, personal funds, scholarships, etc.

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Hal_Al · ‎January 27, 2023

The amount of box 1 that was paid by loans is not relevant for tax reporting purposes. For tax purpose, you may allocate the box 1amount to various sources ( loans, grants, personal funds, scholarships) as needed. The one exception is if the conditions of a scholarship specifically say it must be used for tuition.