@GA502
Q. Which is roughly twice the earnings. Does that mean none of it is taxable?
A. No. You do not compare the expenses available to the box 2 (1099-Q) earnings amount. You compare it to the box 1 distribution amount. See example above.
I can't follow all that. It appears you trying to do it pieces. You have to do the whole.
Provide the following info for more specific help:
- Are you the student or parent.
- Is the student the parent's dependent.
- Box 1 of the 1098-T
- box 5 of the 1098-T
- Any other scholarships not shown in box 5
- Does box 5 include any of the 529/ESA plan payments (it should not)
- Is any of the Scholarship restricted; i.e. it must be used for tuition
- Box 1 of the 1st 1099-Q
- Box 2 of the 1st 1099-Q
- Box 1 of the 2nd 1099-Q
- Box 2 of the 2nd 1099-Q
- Who’s name and SS# are on the 1099-Qs, parent, grandparent or student (who’s the “recipient”)?
- Room & board paid. If student lives off campus, what is school's R&B on campus charge. If he lives at home, the school’s R&B “allowance for cost of attendance” for student living with parents.
- Other qualified expenses not included in box 1 of the 1098-T, e.g. books & computers
- How much taxable income does the student have, from what sources
- Is parent trying to claim the tuition credit (are you eligible)?
- Is the student an undergrad or grad student?
- Is the student a degree candidate attending school half time or more?
