I am helping my son with his taxes. He is claimed as our dependent and has a disability. He is a full time college student. He received a 1098-T from his college listing his vocational rehab money on line 5. He is not a veteran. Turbo Tax is wanting to tax him on his vocational rehab money for tuition and fees. The only way that I can see to deduct this is if he were a veteran. Are these funds meant to be taxed? Is there a way to deduct them? It makes the difference in owing taxes or receiving a refund.
