I interned for three companies in 2015 making very income from these internships, approximately $21,400. With making good money from internships, I decided to take the opportunity in paying all my tuition expenses for the entire academic year. I paid my tuition expenses in cash since I would just withdraw the money from the bank near the school cashier and instantly pay. This way was better since tuition credit card payments charge a 2.9% fee. With this, I recently received a letter from my school stating that because I paid my tuition expenses of approximately $21,100 in cash they have sent the form 8300 to the IRS. I believe I did the right thing in using my internship money to not have debt and since I live with my parents, gas and food were provided as I really didn’t need daily money. Should I be worried about anything? I also have my W2’s stating how much I made in 2015.
It’s just a tool for the feds to track money laundering. Applies to almost all business transactions in cash exceeding $10,000 in a year. You have nothing to worry about. In the future, you could avoid this by writing a personal check, or, if you school does not like personal checks, setting up on-line payment from you account or taking the time to get a cashier’s check.
No, you should not be worried, as long as the cash you paid your tuition with came from legitimate sources (and it sounds like you can substantiate this).
It is always a good idea to lower the asset/saving under the student’s name for financial aid reason.