TurboTax (TT) needs to see that he has taxable scholarship and that he is a grad student. That is usually handled at the 1098-T screen.
First verify that the scholarship is on line 8r of Schedule 1. Then verify that you checked the grad student box. To get to the grad student box, Go through the entire education interview until you reach a screen titled "Your Education Expenses Summary". Click edit next to the student's name. That should take you to a screen “Here’s your Education Summary”. Click edit next to “Education Information”. Go thru the interview
If you did not enter the taxable scholarship in the educational expenses section, delete your entry.
Then, In TurboTax (TT), re-enter at:
Federal Taxes Tab (Personal for H&B version)
Deductions & Credits
-Scroll down to:
--Education
--Education Expenses and Scholarships
