joans Posted March 20, 2009 Report Share Posted March 20, 2009 Client dropped of 1098-T. Box 2 $4700.04 and Box 5 $1728.74. Here is the dumb question: Since no amount in Box 1, there is no Tuition & fees Deduction - Correct? See told you dumb question. My brain just went tilt and I can't get it back to where it belongs. Sara Quote Link to comment Share on other sites More sharing options...
RitaB Posted March 20, 2009 Report Share Posted March 20, 2009 Client dropped of 1098-T. Box 2 $4700.04 and Box 5 $1728.74. Here is the dumb question: Since no amount in Box 1, there is no Tuition & fees Deduction - Correct? See told you dumb question. My brain just went tilt and I can't get it back to where it belongs. Sara Not a dumb question. It's a dumb form. Or maybe the requirements for completing it are dumb. Anyway, you really can't tell much looking at your typical 1098-T. Just ask the client the amount of the qualified expenses they paid. Ask specifically if there was any tax-free assistance, cause it's not always on the form. I have seen kids actually MAKE money on scholarships. Had an ex-military guy that had all the expenses paid by the government, and there was nothing on the 1098-T to indicate that. Quote Link to comment Share on other sites More sharing options...
samingeorgia Posted March 20, 2009 Report Share Posted March 20, 2009 Totally agree with RCooper: this is the most poorly thought-out form in the inventory. Why the heck can't the form indicate whether it qualifies for Hope or Lifetime Credit? Who would know better than the educational institution? Quote Link to comment Share on other sites More sharing options...
joans Posted March 20, 2009 Author Report Share Posted March 20, 2009 Actually for credit purposes, I find that Fees & tuition deduction offers the best refund. I go on the 1040 Ed Exp and check each box (Fee & Tuition, Hope or Lifetime) and most of the time it is F&T that gives the best refund. Sara Quote Link to comment Share on other sites More sharing options...
Lion EA Posted March 20, 2009 Report Share Posted March 20, 2009 My assistant just told me that BOTH the colleges her daughters attend had extensions until 20 March to mail the forms. At one college, the forms have been ready but the outside firm hired to process them is not going to mail them until the very last minute! Quote Link to comment Share on other sites More sharing options...
mcb39 Posted March 21, 2009 Report Share Posted March 21, 2009 Actually for credit purposes, I find that Fees & tuition deduction offers the best refund. I go on the 1040 Ed Exp and check each box (Fee & Tuition, Hope or Lifetime) and most of the time it is F&T that gives the best refund. Sara Sara, be sure that you have the 8817 and the 8863 forms open in the return when you check those boxes. Otherwise it will not calculate properly. Also, check to see if any of your Midwest students were in flood zones in 2008 as they qualify for the extra credit. Many of mine were and I have had to print out FEMA maps for about 5 Midwest states now to find out if the schools qualify. Quote Link to comment Share on other sites More sharing options...
RitaB Posted March 21, 2009 Report Share Posted March 21, 2009 Actually for credit purposes, I find that Fees & tuition deduction offers the best refund. I go on the 1040 Ed Exp and check each box (Fee & Tuition, Hope or Lifetime) and most of the time it is F&T that gives the best refund. Sara That never happens with my clients. Maybe once in the past six years. They had alot of expenses and were in the 25% or 28% bracket, I believe. Quote Link to comment Share on other sites More sharing options...
kcjenkins Posted March 21, 2009 Report Share Posted March 21, 2009 The Hope credit is always the best, IME, if they qualify for it. Quote Link to comment Share on other sites More sharing options...
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