So I am trying to understand this. So the situation is that your company reimburses you partially for college tuition. (You pay all of it with your money and then are reimbursed partially.) So you are saying that tuition is say $6,000 total and then the hypothetical $4,000 tuition credit claim that you are talking about. If I read it correctly the $4000 is the amount that they reimburse you in your paycheck. (How can we tell if that reimbursement was taxed in your paycheck and does that effect anything?)
So the $750 that you are talking about for box 1 is the portion that is the "taxable education reimbursement". So that is the amount over the $5250 maximum reimbursement cap that your employer gave you in your paycheck right? And that is not already specified in your W-2? And you then add that amount to line 21 of the 1040 form called "Taxable Reimbursements". Am I understanding this correctly?
What about the additional $2,000 of tuition that you paid on your own without reimbursement? Where do you list the amount of tuition that you paid on your own? Would you then change the amount on the 1098-T form in box 1 to the amount that was not reimbursed or should that amount stay as listed on the 1098-T form that was mailed out from the university?
