What is the Form 1098-T?
Messiah University files a Form 1098-T to the IRS for each student enrolled and for whom a reportable transaction is made.
Depending on your income (or your family’s income, if you are a dependent), whether you were enrolled full or half-time, and the amount of your qualified educational expenses for the year, you may be eligible for a federal education tax credit. (You can find detailed information about claiming education tax credits in IRS Publication 970, page 9.)
The dollar amounts reported on your Form 1098-T may assist you in completing IRS Form 8863 – the form used for calculating the education tax credits that a taxpayer may claim as part of your tax return.
Please Note: Messiah University is unable to provide you with individual tax advice, but if you have questions please consult a tax preparer or adviser.
What are the amounts in each of the boxes on the Form 1098-T?
It is important to understand that academic years are not the same as tax years. The amounts on the 1098-T consist of charges assessed and payments made in a calendar year.
Listed below is a general explanation of each box on the Form 1098-T in order to help understand the financial data reported on the form.
Box 1. Shows the total payments received for qualified tuition and related expenses. The amount calculated in Box 1 is the total payments received in 2020 for qualified tuition and related expenses (QTRE) charged in 2020, plus any 2018 and 2019 unreported (previously unpaid) charges, less any reimbursements or refunds made during the calendar year that relate to the payments received. Box 1 is capped at the total QTRE billed.
Box 4. Adjustments made for a prior year. The amount is Box 4 shows any adjustments made for a prior year for qualified tuition and related expenses that were reported on a prior year Form 1098-T.
Box 5. Shows the total of all scholarships or grants received and processed in 2020.
Box 6. Any adjustments or reductions in scholarships or grants that were reported on a prior year Form 1098-T.
Box 7. This box shows whether the amount in Box 1 includes amounts for an academic period beginning January-March 2021.
What are the Qualified Tuition and Related Expenses (QTRE)?
QTRE are amounts such as tuition, fees and other related expenses that are required for a student to pay that are within the IRS guidelines.
When will I receive the Form 1098-T?
All 1098-T forms will be mailed no later than January 31st. For more information about Form 1098-T, visit https://www.irs.gov/pub/irs-pdf/f1098t.pdf.
To view an electronic representation of your 1098-T now, please log in to FALCONlink and type “1098T” in the search box