<p>One of my kids left college for medical reasons, 5 days into the fall semester. She received a refund because we had paid for tuition refund insurance. The refund included tuition, as well as room and board. We received a 1098T tuition statement from the college, but nothing on the refund. </p>
<p>Is this refund taxable?</p>
<p>Does anyone know how if it would be reported on the FAFSA and if so, how? Or is it like a one-time gift in that the refund is reflected in the bank balance and therefore is not reported on the FAFSA?</p>
<p>Thanks.</p>