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April 15, 2022
Question

I received a 1098-T for education expenses that I paid for upfront and later my employer reimbursed. Do I enter the 1098-T information or no?

  • April 15, 2022
  • 2 replies
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2 replies

April 15, 2022

If your employer reimbursed your tuition expenses, you cannot use the same expenses to claim any of the educational credits. Leave the 1098-T form out of your tax return would be the proper treatment.

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Hal_Al
Employee
April 15, 2022

Q. Do I enter the 1098-T information or no?

A.  No, if the amount of tuition and reimbursement was less than $5250.  The 1098-T is only an informational document. The numbers on it are not required to be entered onto your tax return. 

 

By law your employer can only give you $5250 maximum, tax free. If your tuition was less than that, and you employer reimbursed it all; it’s  safe to assume it does not need to be reported. You do not even need to enter your 1098-T. You have nothing to claim.

 If you got more than $5250, the amount above $5250 is usually already included in box 1 of  your w-2 and you do not need to enter anything additional on your tax return.  Since you have essentially paid tax on that part, it  is considered your after tax money and that amount can be used  to claim the tuition credit.

 

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 possibly your student has taxable scholarship income. You claim the tuition credit, or report scholarship income, based on your own financial records, not the 1098-T. 

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)