"The 1098-T lists the full tuition amount that was charged in Part 1, while Part 2 lists Tuition/Fee Remissions".
Box 2 is usually blank. There is nowhere in TurboTax to enter something from box 2. What's in box 5?
Does box 1 include the tuition remission amount? Does Box 5 include the tuition remission amount? If so, the school is treating the remission as scholarship. And you should too.
If, on the other hand, if box 1 includes the tuition remission amount, box 5 doesn't and the amount is shown in box 2; then you should reduce the box 1 amount by the amount in box 2, before entering. If that makes the box 1 amount zero and box 5 is also zero, just don't enter the 1098-T. It is only an informational document and there is no requirement that it be reported on your tax return.
