College Expenses

[63princess]

Where do you claim the extra fees that have to be paid to the school that aren't included in the tuition?

My daughter's 1098-T form has all the tuition costs in Box 1 and her scholarships in Box 5, but all the different college fees or required parking are not included.  Where can I deduct this?  It doesn't fall under books & materials, but it is payable to the school.

[DoninGA]

Education expenses that are not a qualified education expenses are not deductible on a tax return.

the following are not qualified education expenses:

• Room and board
• Insurance
• Medical expenses (including student health fees)
• Transportation
• Similar personal, living or family expenses

Expenses for sports, games, hobbies or non-credit courses do not qualify for the education credits or tuition and fees deduction, except when the course or activity is part of the student’s degree program.

[63princess]

These do not fall into any of those categories.  

Example:

Arts & Sciences College Fee, A & S Infrastructure fee, HES Infrastructure fee, HES College Fee, & Parking Permit for a commuter.  All required to be paid to the university to attend classes. 

[DoninGA]

I will page one of our experts on education expenses for their take on this - @Hal_Al assistance needed on this one.

[Hal_Al]

There's a gray area on fees.  The simple answer is: if the fee is  an eligible expense, for  the American Opportunity Credit,  the school should have included it in box 1 of the 1098-T. 

That said, IRS Pub 970 says eligible expenses are  "Tuition and certain related expenses (including student activity fees) required for enrollment or attendance at an eligible educational institution".  So, if they meet that standard, they qualify. 

In TurboTax, enter the required fees as "books and materials required to be purchased from the school". The parking permit is not a qualified expense (It isn't required to be enrolled).  I don't know what "HES" is, but health fees are not qualified unless mandated (not optional). Food services are not eligible expenses. 

[63princess]

Thanks for all the information.  At her university HES is Human Environmental Sciences so a fee for a college outside of her program but required to keep her funding.  It's too bad parking can't be deducted since it's required for her to have a parking pass in order to get to the various buildings she's got to go to as a graduate student.