You are only allowed $5250 of employer reimbursement, tax free. Any excess due to multiple employers is taxable to you. Enter as Other income, if it is not included on your W-2.
Under IRC Section 127: "If the employee has multiple employers, the benefit cannot exceed $5,250 per calendar year for all employers combined." Reference: https://www.connectyourcare.com/blog/tuition-reimbursement-benefits-employers/
“this section would exclude from gross income more than $5,250 of educational assistance furnished to an individual” https://www.law.cornell.edu/uscode/text/26/127
In TurboTax (TT), enter at:
- Federal Taxes tab (Personal in Home & Business)
- Wages & Income
Scroll down to:
-Less Common Income
-Misc Income, 1099-A, 1099-C
- On the next screen, choose – Other reportable income
- On the next screen, click yes
- On the next screen, you'll get blanks to enter the amount and a description. It will go on line 8 of Schedule 1 as "Other Income"
Because you have now paid some of your tuition with "after tax money", you are eligible to claim a tuition credit for that amount.
