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February 8, 2021
Question

1098-T Expenses paid Box 1 13K, Scholarships 23K

  • February 8, 2021
  • 1 reply
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Why is the scholarship taxable, tuition was $36K? I paid 13K and the school gave the difference? 

    1 reply

    Hal_Al
    Employee
    February 8, 2021

    If tuition was $36K and you paid 13K and the school gave the difference; box 1 of the 1098-T should be $36K and box 5 $23K. 

    You claim the tuition credit, or report scholarship income, based on your own financial records, not the 1098-T. In the 1098-T screen, click on the link "What if this is not what I paid the school" underneath box 1. You will then be able to enter the actual amounts paid (36K).