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Level 1
March 1, 2025
Solved

Scholarship question

  • March 1, 2025
  • 2 replies
  • 38 views

If my daughter has a full time job and we are filling separate but she is a full time college student who claims her scholarship income? 

Best answer by NCperson

Expert Reviewed

The STUDENT is always responsible for scholarship income (the student's SSN is on form 1098-T)!

 

That reportable income can be reduced dollar for dollar by the Qualified Educational Expenses (box 1 of form 1008-T plus other qualified expenses, normally books or a computer, purchased outside the university)

 

if the qualified educational expenses exceed the scholarships, there is nothing to report on the student's tax return .

 

Since you are filing SEPARATE, you are ineligible for the AOTC tax credit. 

 

does that help? 

2 replies

MaryK4
Level 15
March 1, 2025

Your daughter will need to report the scholarship income on her return.  

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NCpersonAnswer
Level 15
March 1, 2025

Expert Reviewed

The STUDENT is always responsible for scholarship income (the student's SSN is on form 1098-T)!

 

That reportable income can be reduced dollar for dollar by the Qualified Educational Expenses (box 1 of form 1008-T plus other qualified expenses, normally books or a computer, purchased outside the university)

 

if the qualified educational expenses exceed the scholarships, there is nothing to report on the student's tax return .

 

Since you are filing SEPARATE, you are ineligible for the AOTC tax credit. 

 

does that help?