Question

daughter

Forum|Forum|6 years ago
February 17, 2020
1 reply
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I am claiming my working, college daughter as a dependent. Her income was $1400. She received $3000. in scholarship money. Does she claim her tuition and scholarships on her tax return, or do I?

Thank you

Hal_Al

Employee

You claim the tuition and the tuition credit or deduction, because she is your dependent.

She claims any scholarship that is taxable. Scholarships that are used for qualified educational expenses (QEE) are not taxable. Taxable scholarship is the amount of the scholarship that exceeds qualified educational expenses (tuition, fees and undergraduate course materials). if your dependent's total income, including grants, is less than $12,200, she does not need to file.

In general, if box 5 of form 1098-T exceeds box 1, she has some taxable scholarship. Box 5 is not the taxable amount.