Q. Should I put the amount that I was reimbursed when prompted?
A. You put the tax free amount that they reimbursed.
By law your employer can only give you $5250 maximum, tax free. If your tuition and books was less than that, and you employer reimbursed it all; it’s safe to assume it does not need to be reported. You do not even need to enter your 1098-T. You have nothing to claim.
If you got more than $5250, the amount above $5250 is usually already included in box 1 of your w-2. Since you have essentially paid tax on that part, it is considered your after tax money and that amount can be used to claim the tuition credit.
In TurboTax, you would enter the $5250 when prompted for the amount of employer reimbursement.
