Get your taxes done using TurboTax

Definitely worth asking. 

Yes, that $2000 will reduce the taxable amount of his scholarship.  The "proper way" is to add the 2nd 1098-T to his return (not yours).   TurboTax (TT) should do it correctly.  But, that can get messy and  I have heard some gripes in this forum. 

 

Just adding the $2000 ($10,895) to the first 1098-T  will get you the right result ($6017 of taxable scholarship).

 

Change only the entry on the student's tax return. For yours, it still $4000 in box 1 and 0 (or blank) in box 5.