Box 5 scholarships and grants is larger (by 15,000.) than amount billed for tuition. Box 7 (Jan -March)not checked. Would any of this be taxable. All money used for school expense?
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Taxable Scholarship?
Some of it may well be taxable. The problem is that Form 1098-T is notoriously unreliable. You'll have to grill the client about what their expenses were, and get account statements from the school. The "Jan-March" box may have been left unchecked by mistake.
The overwhelming consensus in this community is that when there is any doubt or ambiguity whatsoever, you simply cannot rely on the data on Form 1098-T.
BMKBurton M. Koss
koss@usakoss.net
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The map is not the territory...
and the instruction book is not the process. -
thanks
that is a big difference to be concerned about.Comment
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I have learned, get the information from the school, don't rely on 1098-T or T/Ps recollection which is usually way too low because they are afraid of the IRS! If you get the information from the school, you can copy it for your file to support why you did what you did.Last edited by Super Mom; 04-13-2011, 12:38 PM.Comment
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Here we go again....
There are now seemingly endless posts on these boards about the Form 1098-T.
The scholarship could have shown up "late" and applied to expenses "billed" and shown on an earlier Form 1098-T.
IGNORE the Form 1098-T and work with the real facts!
And, of course, it is quite possible to have taxable scholarship income.
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