Yes, skip the education credit section as you did not pay anything out-of-pocket).
The reimbursement to enter is $3859. Since your entire box 1 (1098-T) amount was fully reimbursed by tax free money, you are not eligible for a credit.
You do not need to (and should not) enter the 1098-T (if you had one) at all.
The 1098-T is only an informational document. The numbers on it are not required to be entered onto your tax return. However receipt of a 1098-T frequently means you are either eligible for a tuition credit or deduction or possibly your student has taxable scholarship income.
You claim the tuition credit, or report scholarship income, based on your own financial records, not the 1098-T.
