Don't ya hate when that happens! One rule of thumb, when you get competing answers: assume TT is right.
You can claim the credit if you report $23,704 of scholarship as income, freeing up $10,000 of tuition for the credit. The LLC is non refundable, so you would have to have a $2000 tax liability. You could report less to wipe out a smaller tax liability.
Try this: When asked if any of the scholarship was used for R&B answer no. TT should automatically treat the difference between box 1 and box 5 as taxable, without being tricked into it. It sounds like the $13K is being double counted.
