Prepaid Tuition/Taxable Scholarships/AOTC question

MidwestMomTo2
Thu, 31 Jan 2019 02:25:23 +0000

I’m not an expert in this specific circumstance but the AOTC only applies to tuition/fees and mandatory books not covered by scholarships.

If he’s a dependent, the 1098-T goes on yours.

The way I read your post, I don’t see how he qualifies for nearly full AOTC if the scholarship more than covers his tuitions/fees/books.

We’re in a similar situation because our daughter’s tuition/fees are almost entirely covered by a scholarship, so we’re only able to use mandatory books and a couple small fees as a qualifying AOTC expense.

I understand less about the second part of the question. But for you to get the AOTC, he has to have qualified expenses not covered by scholarships — and room and board are not qualified expenses.