Thanks in advance @Hal_Al and anyone else for your guidance:
My son's T-1098 indicates 71K scholarship and only 36K qualified expenses, as he's studying abroad for spring term 2024 and paid only fall semester 2023 at his home university.
Son's scholarship pays for the qualified study abroad program, but those fees were paid January 2024 (rather than as in prior years -- always paid in December).
He received a blank (?) T-1098 from the US-based study abroad institution. Not sure why, and they are no help.
If the scholarship T-1098 is correct, then he must pay taxes on 35K unqualified expenses for 2023, even though those funds went to spring term tuition in first week of January?
That would also mean he will then have tuition payments for 3 semesters (2024 spring/fall +spring 2025) on his 2024 T-1098, which might complicate my claiming the AOTC for his 4th year?
I'm working to check timing of his scholarship funding to make sure the T-1098 is accurate.
If it is, do we have any legit options to mitigate the tax hit?
Many thanks for your help!
