Form 1098-T and FAFSA Grants Question

bchan1
Tue, 01 Feb 2011 15:57:00 +0000

This is why it was confusing - Box 5 of the 1098 had the 9K figure for scholarships/grants. Box 2 had the 8K figure for qualified expenses. So that makes it look like there was approximately 1K taxable unless you’re including books etc. added on.

However - the 8K figure is for the entire year’s tuition, not just the first semester - so box 7 is checked.

When I called FAFSA they had me list the scholarship amount twice - and from what I can tell that essentially reported it and then subtracted it out again.

So, if aid remains relatively the same, next year box 5 will be twice as much and box 2 will still only be 8K or so for next year’s tuition + fees.

It makes me wish I had taken an accounting class…