If your Box 5 amount on your 1098-T includes what would normally be reported on a W-2, you will still be reporting it as income; just 'Other Income' instead of 'Wages'.
How do I determine whether an amount would "normally" be reported on a W-2? For example, some of the amount was paid to me for substitute teaching for a month, but this money was awarded to me as a scholarship payment rather than reported on a W-2 (presumably for bureaucratic reasons). Would such an amount normally be reported on a W-2?
The difference between Box 1 and Box 5 (and any other Books or Related Fees) will be the taxable other income.
Even if a portion of the money from Box 5 was specifically designated for "tuition and fees" and "tuition waivers and exemptions" and I never actually received that portion of the money?
