Frequently Asked Questions About Form 1098T
The 1098T form is used by eligible educational institutions to report information about their students to the IRS as required by the Taxpayer Relief Act of 1997. Eligible educational institutions are required to submit the student's name, address, and taxpayer’s identification number (TIN), enrollment and academic status. Beginning with 2003, educational institutions must also report amounts to the IRS pertaining to qualified tuition and related expenses, as well as scholarships and/or grants, taxable or not.
A 1098T form must also be provided to each applicable student. This form is informational only. It serves to alert students that they may be eligible for federal income tax education credits. It should not be considered as tax opinion or advice. While it is a good starting point, the 1098T, as designed and regulated by the IRS, does not contain all of the information needed to claim a tax credit. There is no IRS requirement that you must claim the tuition and fees deduction or an education credit. Claiming education tax benefits is a voluntary decision for those who may qualify.
Delgado Community College was not required to send you a form.
- Delgado is only required to send 1098T forms to students whose qualified tuition and
related expenses are greater than the students’ scholarships, grants and waivers (Please
refer to IRS Instructions for Forms 1098E and 1098T page 2 under exceptions). As an example:
- Student A has qualified tuition and fees of $7,550 (Box 2) and scholarship, waivers and grants of $11,250 (Box 5) for calendar year 2013. Student A will not be mailed a 1098T form from Delgado. However, this information can be viewed through your LoLA account.
- Student B has qualified tuition and fees of $8,275 (Box 2) and scholarship, waivers and grants of $2,250 (Box 5) for calendar year 2013. Student B will receive a 1098T form from Delgado.
The address Delgado has on record is not your current address.
- Your 1098T is available online through your LoLA account. Please see Question 9 for information on receiving a duplicate 1098T.
- Students will also be required to update their address through LoLA.
You do not have a valid social security number or are a non-resident alien.
- If you do not have a valid social security number, a 1098T may not have been issued. Please see Question 7 for information on updating your social security number.
- Unless Delgado is provided a valid SSN or ITIN number and a 1098T is requested by the student, a 1098T will not be issued.
This box will contain the sum of all qualified tuition and related expenses billed to a student during a calendar year. Tuition waivers and exemptions will reduce the sum of the student’s qualified tuition and related expenses for the year.
This box contains the sum of all scholarships and grants Delgado Community College administered and processed for the student during the calendar year. Scholarships that pay for tuition (qualified scholarships) and other expenses (non-qualified scholarships) will be included in this amount. Payments received from third party sponsors that are applied to student accounts for educational expenses are included in this box.
Qualified tuition and related expenses for calculating tax credits/deductions
- Tuition and fees required for enrollment or attendance at an eligible educational institution (any accredited public, nonprofit, or proprietary postsecondary institution – including Delgado)
Ineligible expenses for calculating tax credits/deductions
- Book store charges
- Application, Transcript, and Testing Fees
- Late fees and/or fines
- Loan Processing Fees
- Other similar charges
Delgado only reports the qualified students’ financial information to the IRS. Your financial information was reported to the IRS if:
- You received a paper Form 1098T in the mail
- Your electronic copy states Hard Copy Mailed - Yes under the supplemental information. To review your electronic copy, please see number 10 above.
Section 6050S of the Internal Revenue Code, as enacted by the Taxpayer Relief Act of 1997, requires institutions to file information returns to assist taxpayers and the Internal Revenue Service in determining eligibility for the Hope and Lifetime Learning education tax credits. Forms are mailed at the end of January of each year for the previous tax year.
Note: Please be advised that Delgado is prohibited from providing legal, tax, or accounting advice to students and we are not responsible for any use you make of this information.