Tax question

Paying for College
21

<p>I don’t use TT. In the education section after you enter all the 1098T info does it ask a question about how much of the scholarship money you choose to allocated to non-QEE? It should then put SCH 800 on line 7 to the left and include the $800 in the amount on line 7. I was told by someone in another thread that TT does ask such a question but maybe it wasn’t the free edition.</p>

<p>With tax software you enter the 1098T info on your return for the AOC and on the student’s return to determine if any is taxable. The 1098T info isn’t sent to the IRS with either return, the info is just used by the software to calculate AOC and taxable amounts.</p>

<p>Pub 970, page 6 explains how to report taxable scholarships:</p>

<p><a href=“http://www.irs.gov/pub/irs-pdf/p970.pdf[/url]”>http://www.irs.gov/pub/irs-pdf/p970.pdf&lt;/a&gt;&lt;/p&gt;

22

<p>Chiming in to agree with the complaints upthread about inaccurate 1098Ts. D was in a dual enrollment program during senior year of HS, and had a scholarship for that. The 1098Ts received from the DE institution were not accurate, and this gave me trouble in working with TurboTax this year. I got it right, after some struggle, but I agree - colleges and universities should not be issuing tax forms with incorrect information on them.</p>