topic Re: Form 1098-T in Education

Form 1098-T

Sue18 — Sun, 02 Feb 2020 20:12:12 GMT

I read that Box 1 minus Box 5 on Form 1098-T should equal what I paid for tuition. However, 2019 1098-T does not. Here are the specifics:

Box 1 = $27,553

Box 5 = $21,323

Box 7 is checked so the amount in Box 1 includes amounts I paid in 2019 for an academic period beginning in the first three months of 2020.

Box 1 minus Box 5 = $6230

Amount I paid = $12,515

Why is there such a discrepancy between what I actually paid and what the college says I paid?

Is the college wrong, or do I just not understand what is going on with this form? Any help would be greatly appreciated. Thank you very much.

Re: Form 1098-T

NCperson — Sun, 02 Feb 2020 20:48:47 GMT

not all the expenses are 'qualified'.... the big one that is probably missing from Box 1 is Room and Board expenses... what you are experiencing is typical.

so if eligible you'll get an AOC or lifetime earning credit based on the $6230

Re: Form 1098-T

Sue18 — Sun, 02 Feb 2020 20:54:50 GMT

Thanks for your reply. So that would mean that the college decided to apply $6285 of what I paid to room and board?

Re: Form 1098-T

NCperson — Sun, 02 Feb 2020 21:26:04 GMT

I was just using that as an example.....

if you want to call the college, I suspect they can reconcile what you paid vs. what is in Box 1.....

while the IRS provides a tax benefit for SOME college expenses, it will not provide the benefit for ALL college expenses. So to me the big one they don't provide is for room and board - they are not going to help anyone out with daily living expenses (shelter and food).

Re: Form 1098-T

Sue18 — Mon, 03 Feb 2020 00:53:31 GMT

I understand. Thanks for your help.