1098-T

[L.S.]

Freshman in college rec'd 1098-T with amount in Box 2 of 10,250 and amount in Box 5 for scholarships or grants of 11,000. Does the 750 difference need to be shown as income? if so, where?

[Jake]

No, at least not based on the information from the 1098-T. Grant money is not taxable nor are most scholarships.

[LindaB]

Freshman in college rec'd 1098-T with amount in Box 2 of 10,250 and amount in Box 5 for scholarships or grants of 11,000. Does the 750 difference need to be shown as income? if so, where?

It might be taxable if the amount of scholarships/grants is more than the 'qualified education expenses', which include "tuition and fees required to enroll at or attend an eligible educational institution, and course-related expenses, such as fees, books, supplies, and equipment that are required for the courses at the eligible educational instutution. These items must be required of all students in your course of instruction." (Pub. 970)

You should find out if the $10250 included books, etc.

If some is taxable, it goes on 1040 line 7 with the notation "SCH" in the line.