Reporting 1098-T when parents paid tuition

[jw371]

I am a student in university, and I only started paying my own tuition for the 2024-2025 school year (starting August 2024). However, my parents paid my tuition for 2023-2024. I reported my 2024 1098-T, but should I also report my 1098-T for 2023 (I did receive one from the university)? I am concerned it wouldn't be appropriate as I claim to have supported myself.

Specifically, the TurboTax question I'm trying to answer is "Did you receive a form 1098-T in 2023?"

[MinhT1]

If you are a dependent of your parents, then only your parents can claim your education expenses and your form 1098-T must be entered on their return.

If you can't be claimed as a dependent, then you enter your 1098-T form on your own return.

It doesn't matter who paid your tuition.

The following is an extract of an IRS document:

Who can claim a dependent's education expenses.   If a student is claimed as a dependent on another person's tax return, all qualified education expenses of the student are treated as having been paid by that person. Therefore, only that person can claim an education credit for the student. If a student is not claimed as a dependent on another person's tax return, only the student can claim a credit.

Please also read this TurboTax article on Who can I claim as a Dependent.

[jw371]

I am not a dependent. Do I enter both my 2023 1098-T and my 2024 1098-T? I.e. do I respond "Yes" on TurboTax?

[MinhT1]

If you are under 19 (or under 24 and a full time student) and you do not provide more than half of your own support for the tax year, then your parents CAN claim you as a dependent.

If someone can claim you as a dependent but does not actually claim you, you can claim the non-refundable part of the American Opportunity credit, but not the refundable part. If you don't have any tax liability, then there is no tax benefit for you.

If your parents can't claim you, then your enter your form 1099-T on your own tax return.

You can't enter your 2023 form 1098-T on your 2024 tax return. To do so, you have to amend your 2023 tax return.

Please read this TurboTax Help topic on how to amend a prior-year tax return.

[jw371]

Hi, thank you so much for your help so far! To clarify, I am mostly supporting myself with my own job so I believe I am not a dependent. Also to your last statement, does that mean I should respond “No” on TurboTax? It is not asking me to enter my form, just asking if I received one. 

[LeticiaF1]

You would enter your 2024 Form 1098-T on your 2024 return, and on the question that asks if you received a form, you should answer yes.  That will open the section you need to complete to claim your education expenses.  

If in 2023 no one claimed you as a dependent and you had education expenses, then you would need to see if it is advantageous for you to file an amended return and claim your expenses.  For steps on how to do this on TurboTax see the following help article:

How do I amend my federal tax return for a prior year?

What education tax credits are available?

@jw371