Q. I'm confused on whether to enter $17,161 or $26,493 into the place "Amount reported as income on a W-2".
I can see why. Based one thing, I'm hearing, it's $26,493 (the 31,743 they paid less the 5250 tax free part). But, then you say $17,161 is the "Tuition paid to school" that is included in Box 1 of W-2. Is it possible that the $14,582 difference (31,743 - 17,161 = 14582) will be included on your 2026 W-2? Then you should use 17,161.
What's the explanation for the $64,743 in box 5 of the 1098-T? Did you get another $33,000 scholarship from the school, in addition to the $31,743 from your employer? It sounds like they both paid your tuition. I looks like you got $33,000 from the school and $5250 tax free from your employer; $38, 250 total. That's more than the $31,743 tuition, so you're not eligible for a tuition credit. It looks like you may even have $6507 (38250 - 31743 = 6507) of taxable scholarship to report.
See "loop hole" (item #4) at this post on the five main points on the 1098-T:
https://ttlc.intuit.com/community/college-education/discussion/re-what-do-i-do-with-form-1098t/01/37...
