Report Form 1098-T, Box 5
Follow these steps to report Form 1098-T, Box 5.
- To figure out if the amount in Box 5 is taxable or not, refer to IRS Publication 970, Tax Benefits for Education.
- If the amount is determined to be taxable (and it was not reported on Form W-2), go to theIncomescreen in theIncomefolder.
- Open theOther incomestatement window.
- Enter Federal Code 5 - Txb scholarship not on W2 and the amount. This will transfer to Form 1040, line 1.
If the student is the taxpayer, scholarship amounts that are entered on the
Scholarships and Grants
field, in the Eligible student information
statement window that are in excess of amounts entered on the Pymt Rec'd Qual Tuition
or Amt Billed Qual Tuition
fields will transfer to Form 1040, line 1.
note
If the student is a dependent, you'll need to enter the excess scholarship amounts in the
Other income
statement window on the Income
screen in the Income
folder.Related Content
-
Form 1098-T data entry
Format:
Article,
2 min read
-
Enter education expenses
Format:
Article,
1 min read
