@sandbpa
2019 disbursement received in 2020 but student chose not to go to school in 2020.
The IRS says in Publication 970 (2020), Tax Benefits for Education | IRS: When figuring an education credit or tuition and fees deduction, use only the amounts you paid and are deemed to have paid during the tax year for qualified education expenses.
If the 2019 disbursement went to pay 2019 expenses, it would be on the 2019 return. If it paid 2020, it would go on 2020 return. You have the bursar account and paperwork trail for proof either way.
VA understands colleges frequently charge tuition or scholarships that don't match up. This allows for the variance. Which goes along with the deemed to have paid with the IRS above.
For simplicity, keeping federal and state education expenses aligned is great. If you want to go off-path, you would need to file the federal, save a copy of your federal return, then adjust the amounts and file the state.
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