Hal_Al
Level 15

Education

 

The other reply is not correct.  It will not enter the income in the correct place for the correct calculation.

 

I assume you parents (via TurboTax) have already calculated that the taxable portion of your scholarship as $2548.

In TurboTax (TT), enter at:

Federal Taxes Tab (Personal for H&B version)

Deductions & Credits

-Scroll down to:

  --Education Expenses

At the 1098-T screen, enter $2548 in box 5 and leave box 1 blank. Enter no other numbers. 

 

That will put it on line 1 of form 1040 with the notation SCH2548. If you total income is less than $12,500, none of it will be taxable.  In fact, if your total income is less than $12,500, and consist only of wages and taxable scholarship, you are not even required to file a tax return.

 

If you try to enter it anywhere else, it ends up taxable.