Vanessa A
Expert Alumni

Education

It doesn't mean he doesn't qualify for any of the AOTC, as there were probably other expenses you paid such as books, computers, etc., but since his scholarships covered his tuition, you would not get the AOC for his tuition expenses. 

 

If the remaining balance was not used to cover other qualified expenses, your son may need to enter the 1098-T on his return as well as that is taxable income.  If he has no other income and is not filing a return or if the overage was used for qualifying education expenses, such as a laptop or books, then he will not need to enter it on his return. 

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