My daughters 1098t box 5 is higher than box 2. Her college said it was because of when she registered for classes. Only one semester of charges were in box 2 but two semesters of grants were in box 5. She has had to take out loans every semester to cover tuition and room and board. I know room and board is not include in box 2 but it seems that at least the other semester of tuition should be in box 2. And box 7 is not checked because only the fall semester charges are on the 1098t. They also said that the other semester will be on next year’s 1098t. for box 2 it only has 2,602.44 but box 5 has 10,098.49 which includes fall semester 2016 5780.49 and spring semester 2016 4318.00. When I enter the exact numbers it states i am not eligble for credits. I feel that I should be because only one semester of tuiton was reported. Can i change that number to reflect other semester of charges and check box 7 even though 1098t does not reflect those amounts
Yes, you can use the amount you actually paid in the tax year.
It looks like the grants will still exceed the amount of tuition and fees, even if the charges are doubled (both semesters).
If your D got a Pell grant, she can declare some of it taxable and you might be able to claim a tax credit.
Print out her account statements and add up what the total charges were for tuition and qualified fees in 2016.
Then add any book expenses. Add up all aid received in 2016 and subtract the tuition, fees, books from
that amount.
https://www.treasury.gov/resource-center/tax-policy/Documents/Report-Pell-AOTC-Interaction-2014.pdf
see this link about coordination of Pell grant with AOTC.
Pell can be used for living costs, by making part or all of it taxable, you might free up tuition that was paid with loans to claim AOTC.