You are here

IRS Form 1098-T

IRS Form 1098-T is filed by the College of the Holy Cross for each student who is a United States citizen or permanent resident and for whom reportable transactions are made for a calendar year.  Your personal financial records serve as official supporting documentation for your federal income tax return.  The information on the 1098-T form is only provided to assist you.  This form should be given to the individual who declares the student as a dependent on their annual tax return and will assist them in determining eligibility for an Education TaxCredit.

The following information is not a substitute for professional/government tax counseling or for reading Internal Revenue Service publications.  Holy Cross staff cannot provide tax advice to students or their families.

Why did I receive a 1098-T?

As required by the Taxpayer Relief Act of 1997, in January of each year, the College mails IRS Form 1098-T to all students who had qualified tuition or other related educational expenses billed during the previous calendar year.  This form is informational only and should not be considered as tax opinion or advice.  Receipt of IRS Form 1098-T does not indicate eligibility for tax credit.

Was a copy of the 1098-T form sent to the IRS?

Yes.  Section 6050S of the Internal Revenue Code, an enacted by the Taxpayer Relief Act of 1997, requires institutions to file information to assist taxpayers and the IRS in determining eligibility for educational tax credits.  Forms are mailed at the end of January for the previous year.  For more information regarding the Educational Tax Credit, please refer to the following IRS site:  https://www.irs.gov/Individuals/Education-Credits .

What address will my 1098-T be mailed to?

Your 1098-T will be mailed to the current permanent home address of the student? 

What if my personal information on my 1098-T is incorrect?

If your SSN/TIN information is incorrect, you must complete a Form W-9S.  This form can be found on the IRS website at www.irs.gov .  You may also come to the Office of the Bursar to complete a Form W-9S. 

I qualify for a 1098-T form but did not receive one.  Why?

If you are not a United State citizen OR have not provided the College with a social security number or tax identification number, you will not have received IRS Form 1098-T.

I am a non-resident international student.  Can I still receive a 1098-T form?

The College is not required to process 1098-T forms for non-resident students who have not provided us with a SSN or TIN.  We will need either the SSN or TIN in order to generate a 1099-T form for a non-resident international student.

What is an eligible education institution?

An eligible education institution is a college, university, vocational school, or other post-secondary educational institution that is eligible to participate in the Department of Education’s student aid program.

What educational expenses are considered qualified tuition and related expenses?

Qualified tuition and related expenses are tuition and fees required for a student to be enrolled at or attend an eligible education institution.

What is not considered qualified tuition and related expenses?

The following are not considered qualified expenses:

                Room and Board

                Insurance

                Medical expenses (including student health fees)

                Transportation

                Books

                Other similar personal, living, or family expenses

How can I get a copy of my 1098-T form?

The College of the Holy Cross mails the IRS Form 1098-T every year at the end of January to the student’s permanent home address.  Students may also access their 1098-T on their STAR account.  Go to the Finances section, click on the “go to” drop down box, select 1098-T form, and then select the year that you wish to view.  (Be sure your pop-up blockers are off.)

Does a student have to file a tax return if he/she received a 1098-T form?

Whether a student has to file a tax return depends on many factors.  Please consult a professional tax advisor to determine if filing is necessary.

Why aren’t amounts included in both Box 1 and Box 2 on the 1098-T form?

Institutions may elect to report either amount of payments received for qualified tuition and related expenses (Box 1) or the amount billed for qualified tuition and related expenses (Box 2) posted during the calendar year.  But not both.

The College of the Holy Cross has elected to use Box 2 for Amount Billed for qualified and related expenses.

My family used money from a 529 account to pay some of my expenses.  Those instructions say that room and board are qualified expenses but you are not including them in Box 2.  Is this correct?

Yes.  The requirements of state-sponsored section 529 accounts allow for funds to be withdrawn, without negative tax implications on the withdrawal, to pay for education expenses including room and board.  So, those expenses are “qualified” for purposes of withdrawal from a 529 account.

However, room and board expenses are still “nonqualified” for purposes of computing an educational tax credit on your tax return. 

Why did I receive a 1098-T and Box 1 does not report any charges?

The College reports charges with a posting date during the calendar year.  If you are receiving a 1098-T for the year that you graduated, your Spring charges would have a posting in November of the prior year and, thus, would have been reported on the prior year’s 1098-T.

Why does Box 5 (Scholarships and Grants) show more/less than I received for the year?

The College of the Holy Cross reports financial aid transactions posted from January 1 through December 31.  If you are counting aid using the academic year and not the calendar year, the figures will not match.

Am I eligible for a tax credit?

The Bursar Office staff are not tax professionals and, given the complexity of the tax code, unfortunately cannot provide tax advice or determine your eligibility for education tax benefits.  Any questions about your eligibility should be directed to the IRS or a tax professional.

Why did I receive a 1098-T form?  Do I now have to report this scholarship as taxable income?

The 1098-T is not reporting taxable income like a W-2 form or a 1099 form.  The 1098-T is to assist you in determining your eligibility for an educational tax credit.

I misplaced my copy of the 1098-T form.  How can I get another copy?

Students have access to all of their issued 1098-T forms on their STAR account.  Go to the Finances section, click on the “go to” drop down box, select 1098-T form, and then select the year that you wish to view.  (Be sure your pop-up blockers are off.)

If you are a graduate of the school and do not remember your STAR access, please contact the ITS Help Desk at (508) 793-3548 and request alumnae access to STAR.