<p>We are claiming daughter as a dependent. She also has wages of about $7000.</p>
<p>Books & laptop totaled $1600 that we paid for out of pocket. Books were required for their courses of all students. Laptop was required of all students in one course.
The books & laptop are covered expenses under scholarships. Can I say the unrestricted scholarship money was used for these items? </p>
<p>If 1098-T Box 2 $5600 is amount billed for qualified tuition & related expenses and
Box 5 $5200 is scholarships (unrestricted-tuition,fees,books,supplies,equipment,housing), what amount is the Qualified Expense for the Hope Credit?</p>
<p>Is it: $5600 amount billed for qualified tuition & related expenses minus $5200 for scholarships = $400 for the qualified expense for the Hope Credit? OR</p>
<p>Is it: $5200 scholarships minus $1600 for the required books & laptop equals $3600 net
scholarship income. $5600 amount billed for qualified tuition & related expenses minus $3600 net scholarship income equals $2000 for the qualified expense for the Hope Credit.
Or
Is it: $5200 scholarships minus $1600 for the required books & laptop equals $3600 net scholarship income minus $5600 qualified tuition & related expenses equals a negative $2000 for the Hope Credit.</p>
<p>See the links below
Navigating</a> the Form 1098-T Tuition Statement: Inconsistencies in Reporting </p>