No. Excess scholarship is taxable income on her return. You are not allowed to shift it to your return.
You don't really "put" the 1098-T anywhere. You use the info on it, along with your own records, to claim a tuition credit and/or report taxable scholarship.
There is a tax
“loophole” available. The student reports all his scholarship, up to the amount
needed to claim the American opportunity credit, as income on his return. That
way, the parents can claim the tuition credit on their return. They can do
this because that much tuition was no longer paid by "tax free" scholarship. You cannot do this if the school’s billing
statement specifically shows the scholarships being applied to tuition or if
the conditions of the grant are that it be used to pay for qualified expenses.
Using an example: Student has $10,000 in box 5 of the 1098-T and
$8000 in box 1.
At first glance he/she has $2000 of taxable income and nobody can claim the American
opportunity credit. But if she reports $6000 as income on her return, the parents
can claim $4000 of qualified expenses on their return.
