Q. The 1098-T should be adjusted to be the portion I paid for? If I paid 45% and grandpa paid 55%, is it as simple as me adjusting the 1098-T to be 45% of the total in box 1?
A. No. There are more qualified expenses than just the amount shown in box 1 of the 1098-T.
There is no way to make this simple.
Provide the following info for more specific help:
- Box 1 of the 1098-T
- box 5 of the 1098-T
- Any other scholarships not shown in box 5
- Does box 5 include any of the 529/ESA plan payments (it should not)
- Is any of the Scholarship restricted; i.e. it must be used for tuition
- Box 1 of your 1099-Q
- Box 2 of your 1098-Q
- Box 1 of grandparent's 1099-Q
- Box 2 of grandparent's 1098-Q
- Room & board paid. If student lives off campus, what is school's R&B charge. If the student lives at home, only the school's board charge for on campus students.
- Other qualified expenses not included in box 1 of the 1098-T, e.g. books & computers
- How much taxable income does the student have, from what sources
- Are you trying to claim the tuition credit (are you eligible)?
- Is the student an undergrad or grad student?
- Your marginal tax rate
- Grandparent's marginal tax rate
