Thanks for your detailed response. This was the intuitive way I was thinking that would make it possible. With that being said, the TurboTax software is rather unintuitive with how to include those extra scholarships as income on my returns as it just asks for my 1098-T information and then asks how much I want to allocate to Room and Board.
In your example, would I put in $8,000 in Box 1, $10,000 in Box 5 as you regularly would, and then input $6,000 that she "spent on room and board" to report that as income? Just not sure how TurboTax is plugging these numbers into the forms to get what I need from them.
