I generally try to stay out of threads that already have a choir of responses. But I have to ask the question;
What specifically and explicitly is that $10K difference for? The student needs to log into their online college account and go to the financials section to get a detailed breakdown of:
- All income received by the school from all sources "in tax year 2019."
- All expenses that income was applied to "in tax year 2019".
Remember, scholarships/grants are reported in the tax year they are received, and it does not matter what tax year it may be "for". Likewise, qualified expenses are claimed/reported in the tax year they are paid, and it does not matter what tax year is paid "for".
If that 10K difference is applied to anything other than tuition, books and lab fees, then it's taxable income to the student. For example, if the student is an RA and are compensated with free rent in the on-campus housing, that "Free" rent is compensation, and therefore taxable income to the student.
