I don't like the answer that was initially provided to you. If you have more money from scholarship or grants (box 5) than the amount payed/billed (box 1 or 2) to you then YES you have to report it. It is considered income, and is therefore taxable. According to the IRS if the income is over $650 then it is considered taxable income, and it MUST be reported. As a tax preparer I have seen the IRS come after clients for not filing a 1098-T when they had taxable income on it.
The only time you don't have to file it is if billable/amount paid (box 1 or 2) is more than your scholarship or grant money (box 5). This is true because then you qualify for an education credit/deduction, and it's up to you to know whether or not you can use the credits/deductions you qualify for.
