1098-T

Forum|Forum|4 years ago
March 26, 2022
3 replies
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Can I split the payments from a 1098-T between my (the parents tax form) and my daughter's? for example $4000 on my form to maximize and qualify for the American Opportunity credit and $1500 on my daughters to help her tax situation. If so how is it recorded and what paper trail should I keep on file?

SweetieJean

Employee

No. See this:

Solved: Can I split the 1098t between two returns? (intuit.com)

DanaB27

No, you cannot split the expenses from Form 1098-T. If you claim your daughter as a dependent then only you can claim the education credits.

Please see What education tax credits are available? for additional information.

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Hal_Al

Employee

Yes and No.

No, your daughter cannot also claim a tuition credit. Only you can claim the tuition credit, because she is your dependent.

However, she can still enter the 1098-T, on her return, if she needs to claim expenses to keep her scholarship tax free (or reduce the amount that is taxable) or offset a 529 distribution, in her name. In her interview, she will encounter a screen "Amount used to calculate education deduction or credit." Be sure the amount in that box is $4000.

busdrvrAuthor

Thanks. I have already entered my daughter's 1098-T on my (the parent) tax form. $5500 from box 1 payments and $1500 in box 5 scholarships. and used only $4000 for the education credit. can i also enter it into my daughters tax return with the hope of using the remaining $1500 from box 1 to offset taxes that she owes (from unearned income from some capital gains on an UGMA).? Also,

Can I claim the cost of a computer for my daughter , on my daughters taxes? if so where is that entered?

THANK YOU ALL FOR YOUR HELP.

Hal_Al

Employee

Q. Can i also enter it into my daughters tax return with the hope of using the remaining $1500 from box 1 to offset taxes that she owes (from unearned income from some capital gains on an UGMA).?

A. Yes and no. No, in your case. One student means one tax credit and you've already claimed that, on your return. So not it cannot help reduce taxable income from a UGMA account. See answer to next question, for when yes might be the right answer.

Q. Can I claim the cost of a computer for my daughter , on my daughters taxes?

A. Yes and No. Although a computer is (almost always) a qualified expense, for the education credit, only one credit per student is allowed and you already claimed it. However the computer is also a qualified expense for tax free scholarship, so you (usually) might want to enter it (answer yes when asked if you have book expenses). But, in your case, you student already has $1500 of "left over" tuition to offset her scholarship and keep it tax free. But, again, those educational expenses are no help against UGMA unearned income.