Form 1098-T is to be used to determine if the taxpayer or another person who claims the individual as a dependent can claim an education credit. Whether the IRS is concerned about the fact that scholarships in box 7 exceed expenses in box 1 is not clear. There can be a mismatching of the scholarship income and the amounts paid for tuition (tuition payment in the fall, scholarship payment in the spring). Box 7 seems to address this issue by asking if the amount received by the university (Box 1) includes amounts for the spring semester.
