scholarship

[G and G Tax Services and More]

Hi, 

My name is Yesenia Gonzalez from Logansport, IN. I have a client with Money left over from her scholarship, I never had this situation can someone help me, letting ne know where do I input that information on her 1040-SR please.

Thank you,

Yesenia Gonzalez

[IRonMaN]

Left over as in she received more money than she spent on tuition, books, etc or did you mean something else.  If so, just enter the 1098T information and everything should flow properly on the return.

 I am curious that you mentioned 1040SR though.  Is she like a senior in school or a senior in age?

[G and G Tax Services and More]

Yes, it's money she didn't use. from he scholarship she was told she has to let IRS know how much she didn't use. het 1098T doesn't have that information. It doesn't say where it goes on her 1040.

[IRonMaN]

What information does the 1098T have?

[athaureaux6]

Hi Jessenia, just enter the information as it appears in the Form 1098 t showing that the amount in box 5 is greater than the amount on box 1. You will see that the software will transfer the difference to the dotted line in Line 1, Wages, tips, etc. I think PS writes Sch the amount on the dotted lines and add the amount to the wages. Other softares just add the amount to the wages. Hope it helps. 

[G and G Tax Services and More]

The client received a 1098T and it has the amount on box 1 and on box 5, but she said that she received an email that says that she needs to report and money left from that scholarship, but I don't know where to add it on the 1040. do I add it with box 1 on 1098T or do I subtract? 

[IRonMaN]

Enter the information on the 1098T into the software.  There is a 1098T data entry page in the software - enter it exactly as the 1098T shows.