<p>I’m confused. My high school seniors have both completed a number of summer programs at colleges. However, the school which sponsored D1’s 2011 summer program recently sent us a 1098-T. Based on what I have read about the Education Credits and the American Opportunity Tax Credit, my daughter does not meet the criteria for us to take these credits. Am I wrong?</p>
<p>I’m not sure this has anything to do with education credits.</p>
<p>If your kids received scholarships that paid for their summer housing, meals, etc, then that is considered “income” to them and is taxable. However, if they didn’t earn much last year, then it’s likely that they didn’t get enough to pay taxes on these awards.</p>
<p>It is likely that some of the money you paid for the summer program was for tuition, which is often tax deductible assuming you meet the qualifications for the tax credit. If you meet the income qualifications for either credit, you might be eligible. The credit(s) would be claimed on your tax return if you claim your daughter as a dependent.</p>
<p>To attempt to clarify:</p>
<p>M2CK – We paid for my daughter’s summer program; there was no scholarship.</p>
<p>SEA_tide – I understand that the school designated a portion of the total cost as tuition since we paid more than that for the whole program, so some must have been for room and board.</p>
<p>But is it common practice for parents to claim these education credits (if your income permits) when the dependent student in question was still in high school and was not enrolled in a program leading towards a degree???</p>
<p>The instructions for the Tuition and Tax Fees Deduction clearly spell out that the student must be a HS grad or have a GED. I could not find the same stipulation for the American Opportunity Tax Credit.</p>
<p>Also, if it is standard practice for parents to be able to deduct tuition for summer programs, why wouldn’t other schools where my kids attended summer programs also have sent out the 1098-T?</p>
<p>Depending on the summer program, there may be high school graduates enrolled (summer before college or summer before gap year), and/or college students enrolled as well. In that case, the computer system probably has no way to distinguish between students who can and can’t use the tax credits, and so just sends 1098 forms to everyone.</p>
<p>Ahhh…when you used the word “sponsored,” I was thinking that they paid for it. I now see what you mean.</p>
<p>I would assume the school just generates the forms for everyone. You use it if it applies to you.</p>
<p>This was a program just for rising HS seniors. Not sure why any 1098-Ts were sent out!</p>
<p>I am sure that the system is set up just to kick out the form for anyone who paid tuition or had a scholarship. Believe me, there is so much involved … it is far easier to send to all than to pick and choose.</p>