<p>Hi everyone. I'm really confused and not sure if this is right. Would appreciate some answers/help! </p>
<p>I filled out my taxes with my W2. Over the year I made $7756. I'm also claimed as dependent to my dad and since he doesn't make much money, I received a Pell Grant and a University grant and I accepted a very small subsidized stafford loan ($2,000). </p>
<p>I did my taxes and I was going to get about $450 back. I remembered I got a 1098-T form in the mail so I filled it in. In box 2 the amount is $6,900 and in box 5 $10,303.. Boxes 7 and 8 are checked.</p>
<p>Once I filled my 1098-T in, it says I owed close to $900!!!! It just seems really off to me. I'm inexperienced with taxes/numbers and all that but was wondering if there is anyone out there who can help me figure this out I'd appreciate it very much!!!</p>
<p>Print out your Bursar’s Statement. You need to know which things you were billed for, and what was paid for, during 2012. Some of the money on your 1098T might be for items billed early in 2013.</p>
<p>Your student loan and your Pell grant are not taxable income.</p>
<p>If you had a scholarship that was for housing and meals, that would be taxable. However the money that you spent for tuition, fees, books, and materials specifically required for your classes, are Qualified Educational Expenses. Your dad can use those expenses to reduce his taxes with the American Opportunity Credit.</p>
<p>If you had scholarships that weren’t specifically for tuition or housing or whatever, you can consider that they were used for whichever items result in the most favorable tax situation for you and your dad.</p>
<p>Do not worry if your numbers don’t match up with the numbers on the 1098T. They probably won’t. What you have to report and what the college has to report are two different things.</p>
<p>Before taxes, it looks like you had about $1800 in taxable income (you get the standard deduction ($5950), but cannot use your personal deduction if you don’t provide more than half of your own support). That should have resulted in taxes of about $180, so a $450 refund means you had withholding of around $630 - is that correct? You need to be sure you started from the right place. If you only had $450 of withholding, you may have claimed yourself on your return - not right if your dad is claiming you.</p>
<p>Now for part 2:</p>
<p>If you didn’t claim yourself, and had $200 of taxes due, as above, the taxable scholarship resulted in $1350 of additional taxes, or a total tax due of about $1550, from taxable income of about $13,250. Subtract out the taxable income from above, and it means you are reporting taxable scholarships around $11,450 - that suggests you’re entering something incorrectly.</p>
<p>If you claimed your personal exemption, and had no taxable income before the scholarships, the tax of $1350 would result from taxable income of $12,000 - which would come from reporting scholarship amount of more than $12,000 (because you still would have part of your personal exemption left).</p>
<p>In either case, the tuition and scholarships don’t seem to have been entered correctly.</p>