1098 T box 2 tuition billed

[FEDUKE404]

Allocations of partial payments

What if payments are made in both December and January for the same term? Are there regulations in place for the school to attribute those payment to specific items on the bill?

Don't know the answer to that one...you would have to ask the school. (And expect to encounter a FERPA barricade somewhere around the size of the Great Wall of China!)

As a possible answer: I'm not sure what "the school does" is of great relevance to the taxpayer, as they are just posting payments and have ALREADY done their job by showing "billed" on the Form 1098-T. For the taxpayer, if there is an issue with partial payment (most schools in my area require "spring semester" funds to be paid by 12/31/20xx or face late payment fees) I suppose the burden would be on the taxpayer to inform the school as to whether the partial payment(s) goes to qualifying or non-qualifying expenses.

Others here have said they see "paid" on Forms 1098-T, but I've never had that luxury. (Also, my client base with college kids is somewhat small.)

Let us know what you find out!

FE

[oceanlovin'ea]

I tell my clients to give me something that shows how much they paid or were loaned for tuition? I look at the 1099T but don't use it except to prove they did go to school.

Linda, EA

[S T]

Most of my clients are so confused by this - I now am receiving their "sign in" info at the Colleges - to retrieve the accounting transcripts and then when in doubt of payments, the clients will provide some receipt or copy of a payment advice upon further request - including Student Loans

This is a mess! and a lot of time expended - Not sure why the Educational Facilities can make the reportings and why they are somewhat exempt from making the proper reportings - Look at the extreme and large Tuition Fees they are receiving.

My 2 cents worth

Sandy

[LCP]

Don't know the answer to that one...you would have to ask the school. (And expect to encounter a FERPA barricade somewhere around the size of the Great Wall of China!)

As a possible answer: I'm not sure what "the school does" is of great relevance to the taxpayer, as they are just posting payments and have ALREADY done their job by showing "billed" on the Form 1098-T. For the taxpayer, if there is an issue with partial payment (most schools in my area require "spring semester" funds to be paid by 12/31/20xx or face late payment fees) I suppose the burden would be on the taxpayer to inform the school as to whether the partial payment(s) goes to qualifying or non-qualifying expenses.

Others here have said they see "paid" on Forms 1098-T, but I've never had that luxury. (Also, my client base with college kids is somewhat small.)

Let us know what you find out!

FE

Don't hold your breath ;-)

I was just attempting to address why schools might not fill out that box. I usually come down on the side of businesses and even quasi-businesses like public universities when it comes to onerous government requirements.

If all the government "knows" is what was billed then we have a better opportunity to use the other facts to our clients best interest.

[BP.]

I now am receiving their "sign in" info at the Colleges - to retrieve the accounting transcripts

You are doing this? I have to have clients retrieve their own data online.

[FEDUKE404]

Accessing student info

You are doing this? I have to have clients retrieve their own data online.

I have done this (with the student's permission !!!) on several occasions. All you need is an ID and password. FWIW, it's no different from the student giving the same access (frequently with NO access to grades ) to their parents.

It's far better than wasting your time on the phone trying to find a college administrator person and encountering the very large FERPA brick wall if you have questions.

FE

[S T]

With the Taxpayer's permission - they provide me the sign in (College) to retrieve the Account Information for billing and payments - it was out of self-defense on my part and eliminate frustration of receiving documents that I did not want - also out of frustration on the Taxpayer's part - as they could not grasp it - Taxpayer just kept saying you have the 1098T - what more do I need to provide you with!

Takes me 5 - 10 minutes, and so well worth the time to have more accurate info, if I see something not looking quite correct - then I send to the client and have them - go search for more info.

Sandy

[BP.]

It's far better than wasting your time on the phone

That has to be the client's time. I wouldn't have the time to chase down all the info needed.

[FEDUKE404]

Getting information from online student accounts

That has to be the client's time. I wouldn't have the time to chase down all the info needed.

I don't look at it quite that way. Except for a few mouse clicks and perhaps printing a couple of pieces of paper, there is no extra effort on my part to obtain the relevant (and correct!) information.

What I get is essentially the same documentation the student/parent would have to provide me in the first place. After that, the "tax work" is exactly the same either way.

Quite frankly, overall I bet I would spend less time accessing/obtaining the needed information online than having to deal with a client in person/over the phone and having to explain exactly what they need to retrieve.

Different strokes for different folks, but within reason a mark of my business IS providing a bit extra to my clients. I charge them a reasonable amount for my extra effort and related time, but in exchange they get far more than just dealing with a preparer who might only read the computer prompt screen and fill in the blanks. It's a win/win situation for all involved.

FE

[BP.]

I do get your points, FE.

This year, in just practical terms, it is different for me.

I have boxes bursting with 8863’s ready for e-filing. Most of them needed more info/docs to complete this year. Plenty of them have multiple students/multiple institutions. Lots of 529 & IRA distributions; some need room & board or apt rent info. Elusive book receipts. For me anyway, it can be more than just a few clicks/minutes to gather all the info needed. All of them, as a service to clients, are fast tracked for completion so people can do their FAFSAs. That is what is making my clients most happy this year.

If I were to take on the task of all the necessary online document retrieval, especially during these past 2-3 most intense weeks, it would really be too time consuming. Clients are delighted to get me what is needed. Some do it right there on their phones.

For me, the service niche with all my tuition clients includes quick turn-around, after they get me the info. There is some sort of frothy, FAFSA frenzy this year.

a win/win situation for all involved.

And in a related issue:
With all the W-2s, and all the various 1098s and 1099s, that are available for clients to access online, I don’t want to take people in the direction of relying on me to get their docs for them. Though I have in the past, and still selectively do. But the requests are just way too many now. And what used to be an isolated extra service could now turn a tax office into an internet café, with the paperlessness of clients' tax reporting docs.

[Fast forward: Client with IRS letter in hand- “Turns out we didn’t include these two W2s (or whatever doc was overlooked.)” "Oh?" “You said you looked up everything I needed in your computer.”]

overall I bet I would spend less time . . . they get far more than just dealing with a preparer who might . . .

Without comparing or disparaging, we respond to the particular needs of our specific clients in our various best ways. That's how we each succeed.

[FEDUKE404]

Managing the work

I do get your points, FE.

This year, in just practical terms, it is different for me.

I have boxes bursting with 8863’s ready for e-filing. Most of them needed more info/docs to complete this year. Plenty of them have multiple students/multiple institutions. Lots of 529 & IRA distributions; some need room & board or apt rent info. Elusive book receipts. For me anyway, it can be more than just a few clicks/minutes to gather all the info needed. All of them, as a service to clients, are fast tracked for completion so people can do their FAFSAs. That is what is making my clients most happy this year.

If I were to take on the task of all the necessary online document retrieval, especially during these past 2-3 most intense weeks, it would really be too time consuming. Clients are delighted to get me what is needed. Some do it right there on their phones.

For me, the service niche with all my tuition clients includes quick turn-around, after they get me the info. There is some sort of frothy, FAFSA frenzy this year.



And in a related issue:
With all the W-2s, and all the various 1098s and 1099s, that are available for clients to access online, I don’t want to take people in the direction of relying on me to get their docs for them. Though I have in the past, and still selectively do. But the requests are just way too many now. And what used to be an isolated extra service could now turn a tax office into an internet café, with the paperlessness of clients' tax reporting docs.

[Fast forward: Client with IRS letter in hand- “Turns out we didn’t include these two W2s (or whatever doc was overlooked.)” "Oh?" “You said you looked up everything I needed in your computer.”]



Without comparing or disparaging, we respond to the particular needs of our specific clients in our various best ways. That's how we each succeed.

You're using room/board/rent for education credits?? Please tell me more!

As for the original topic, I was merely saying I don't personally see using alternative means of getting needed information as a problem.

Perhaps you just need more staff?

FE

[WhiteOleander]

I think BP was saying that room and board can be used for the 529,etc distributions so more can be used for credits.

[BP.]

You're using room/board/rent for education credits?? Please tell me more!

Didn't say I was.
Now, you are being goofy!