1098-T is an informational form. The program gives you plenty of space to add more fees paid, additional scholarships and deductions for supplies, room and board, etc. If your income allows you to claim the AOTC credit, you can manipulate the numbers to give you the best refund. The IRS has a great brochure that explains how scholarships and tax credits interact.
The credit and income limits:
- For the full credit, your MAGI (modified adjusted gross income) is less than $80,000 ($160,000 if you're filing jointly)
- For a reduced credit, your MAGI is between $80,000 and $90,000 ($160,000 and $180,000 if you're filing jointly)
- There is no credit given if your MAGI is above $90,000 ($180,000 if you’re filing jointly)
Reference:
Qualified Education Expenses - Internal Revenue Service
Pub 970
IRS Q & A about education credits.
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