AmyC
Expert Alumni

Education

The Q should not be entered since it all went to education expenses. It could be allocated to room and board, or other expenses, if need be.

The 1098-T is only entered on the student return if income must be claimed from the scholarships. Otherwise, the T can go on the parent return and be allocated as needed for college education credit. The IRS has a great brochure that explains how scholarships and tax credits interact.

 

IRS Publication 970, Tax Benefits for Education states on page 45:  Don't report tax-free distributions (including qualifying rollovers) on your tax return.

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