Piggybacking on the previous questions, what if the amount in Box 5 includes a taxable reduced tuition amount (as he is an undergrad) for two different tax years?
The amount in our box 5 is $11,192. However, $4,823 of this is for TY2024 and the remaining $6369 should be for TY2025. For whatever reason, the university brought forward the tuition reduction credit in 2024 even though we are not paying his tuition for the term beginning in Jan 2025 until Jan 2025.
I understand how I can shift part of this amount into my son's income thereby increasing the amount of the tax credit for myself. However, shouldn't this taxable reduction in tuition categorized as a Scholarship/Grant for 2025 be declared in 2025 instead of being declared as income in 2024 for my child?
Thank you.
