I have a form 1096-T from a College, do I enter it with the income? Also, I received leftover money reimbursement from a grant, is that an income?

Do not enter the 1098-T at income.  If it needs to be entered at all, Instead, 

In TurboTax (TT), enter at:

Federal Taxes Tab (Personal for H&B version)

Deductions & Credits

-Scroll down to:

--Education

  --Education Expenses

The 1098-T is only an informational document. The numbers on it are not required to be entered onto your tax return. However receipt of a 1098-T frequently means you are either eligible for a tuition credit or deduction or possibly your student has taxable scholarship income. 

If you claim the tuition credit, you do need to report that you got one or that you qualify for an exception (the TurboTax interview will handle this)

If you are a dependent, your parent enters your 1098-T, on their return, to claim the tuition credit.

If your scholarships exceed qualified educational expenses (QEE)(tuition, fees, required books, computer, course materials), the excess is taxable income. In that case the 1098-T is entered on your return.  "Leftover money" isn't necessarily taxable, if spent on QEE. 

Student loans are not treated the same as scholarship.  Left over student loan money is not taxable. 

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There is a tax “loop hole” available. The student reports all his scholarship, up to the amount needed to claim the American Opportunity Credit (AOC), as income on his return. That way, the parents  (or himself, if he is not a dependent) can claim the tuition credit on their return. They can do this because that much tuition was no longer paid by "tax free" scholarship.  You cannot do this if the school’s billing statement specifically shows the scholarships being applied to tuition or if the conditions of the grant are that it be used to pay for qualified expenses.

Using an example: Student has $10,000 in box 5 of the 1098-T and $8000 in box 1. At first glance he/she has $2000 of taxable income and nobody can claim the American opportunity credit. But if she reports $6000 as income on her return, the parents can claim $4000 of qualified expenses on their return.