On a 1098-T, box 1 reports what was paid to the school. This should have no affect on your tax liability.
HOWEVER Box 5 reports financial aid supplied to the student. If Box 5 is more than Box 1, the difference is treated as income.
Because school years and calendar years cross, it's advisable to check your records to be sure that box 5 does not contain aid that the school received in a different year. Often a school bills in December but may not receive payment until January.
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