Did I Get a 1098-T Form If I Graduated From School in 2017?
The Tuition Statement, or 1098-T, is a form used by your college or career school to report eligible tuition and related education expenses to you and the IRS. These expenses may be eligible for education-related tax credits for you or your parent/guardian.
If you attended school in 2017, you may have received a 1098-T tax form. However, it is essential to note that the boxes for Boxes 2 and 3 have been discarded. That is the school’s information to determine if you need a refund for your tuition or grant money for a prior year. Therefore, boxes 2 and 3 will not be used in 2018.
Boxes 2 and 3 of Form 1098-T are no longer used
If you graduated college, you no longer need to fill out Boxes 2 and 3. These boxes no longer apply. Instead, you should check off the appropriate boxes on your Form 1098-T if you graduated college. For more information, see IRS Pub 970. If you graduated from college before filing Form 1098-T, Box 3 would no longer apply to you.
The IRS uses Form 1098-T to match data between taxpayers claiming education credits. In addition, the IRS uses this information to follow up with taxpayers who claim education credits. It can be issued by educational institutions that participate in student aid programs. Insurers may also file Form 1098-T if they reimbursed or refunded students for college-related expenses.
The University of Phoenix no longer reports the tuition and fees paid on Box 2 of Form 1098-T. You should still check with your tax advisor for guidance on how much of these payments you can claim. Box 2 and 3 of Form 1098-T are no longer used if you graduated college. The university reports payments in Box 1 and Box 3 for tuition and fees. You can also look into education tax credits by consulting IRS Publication 970.
Whether you paid your tuition and related expenses during the calendar year or over several years, the information on your Form 1098-T should be reported in the appropriate box. Box 1 reports tuition and related expenses paid to the university during a particular calendar year. For example, if you paid tuition in November, you might have classes in January 2018.
The information you have on the 1098-T form will determine whether you qualify for the education tax credit. The IRS uses the information on Box 1 to determine whether you qualify for the credit. The IRS expects you to keep adequate records if you graduate from college. Therefore, you will no longer have to fill out Box 2 and 3 of Form 1098-T.
If you haven’t mailed out your Form 1098-T, you can submit it electronically to the IRS. Then, you will receive a copy of your tax return. Make sure you have updated your address in the IRS database by December 31. Boxes 2 and 3 of Form 1098-T are no longer used if you graduated college.
The IRS limits the amount of tuition and related expenses reported in Box 1. Therefore, if you’re a graduate, you will no longer need to report these amounts. Instead, you should only report tuition and related expenses billed during the calendar year. In addition, box one is limited to amounts that students paid before December 31. Finally, it’s important to note that these categories do not include any tuition and related fees paid to third parties.
Boxes a school will check if it needs a refund for tuition paid in 2017
A tax return shows a student’s qualified tuition and fees as the number of payments minus refunds. Qualified tuition and fees include all financial aid, sponsored and personal payments. Boxes 2 and 3 are no longer used for this purpose. Box 4 shows adjustments for prior-year payments received, and box 7 lists scholarships. A student who needs a refund should check the boxes that apply to them.
Form 1098-T is used to report the number of payments made by a student for the year. For example, if a student has paid tuition during the Spring semester, they have paid for the semester that begins in August or September 2018. However, that student is not required to pay tuition for the Fall semester. For example, tuition for the Spring semester typically bills in November. Since classes typically start in June, a student must submit proof of payment.
Boxes a school will check to determine if it needs to reduce a scholarship or grant for a prior year
There are several ways to determine whether a scholarship or grant should be reduced. One way is by reviewing your tax return. You may have already received a scholarship or grant, but your tax return may not reflect the total amount if you did not use it that year. Box 4 is a summary of any changes in your qualified tuition.
The 1098-T form shows any adjustments to qualified expenses for the previous year in Box 4. If these adjustments increase your tax liability for the previous year, you will have to file an amended return. The school must check box seven if any of the expenses listed in Box 1 or Box 2 were incurred for an academic term that began within three months of the 1098-T year. For example, if you were enrolled half-time or more in college in the prior year, box 8 would be checked. If you were enrolled in a graduate program, check box 9.
When applying for a scholarship or grant, there are additional steps you must take to make sure that you’re eligible for it. In some cases, students may be eligible for a fee waiver to attend a high-poverty school. If this applies to you, your family’s AGI should be below $60,000. If you don’t have proof of your AGI, you’ll need to submit verification.
The IRS has specific requirements when reporting student expenses. Box 1 of a Form 1098-T reports the amount of money a student paid in the previous year. The remainder of the form is blank. Suppose the school wants to reduce your scholarship or grant for a prior year. In that case, you can contact a 1098-T representative to find out the exact amount.
The school will review the documents you submitted when applying for a scholarship or grant in a previous year. Then, it will review the box indicating which institution the scholarship or grant was awarded. You must be enrolled in a Title IV eligible school to qualify for this scholarship or grant. Then, the school will disburse the funds to the appropriate institution.
Suppose you are on a scholarship or grant for a prior academic year. In that case, you should carefully review the box containing the amount reported for adjustments to qualified tuition and related expenses. This information can be useful for calculating whether a grant or scholarship can be reduced due to a change in your household or tax situation. For more details, see IRS publication 970 and form 8863.