Hi Thomas,
I can see your post is from 2020, so not sure if you will see my question. I have a similar situation and feel the same way.
I'm wondering if my daughter needs to file or not. She has no other income from work or any other source, but her 1098-T box 5 was greater than box 1. Then there is also a $ amount in box 4 and I don't understand what that is for. The difference between 5 and 1 is somewhere between $4 and $6k. The reason I don't know the difference is because I don't understand what box 4 has to do with it. We didn't pay anything out of pocket for tuition. We paid out of pocket for some of the room and board, but not tuition. Supplies were covered by scholarships and grants. I don't think the AOTC will help us.
Do you think she needs to file? I'm not sure if $6k is high enough to be taxed, but at the same time I'm worried about not filing and having it be a problem later when we apply for financial aid for 24-25 school year.
Is there any harm in filing it even if she owes nothing?
Thank you so much!:)
