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4 Answers

is box 5 in 1098-T taxable or not?

Asked by: samserio 884 views YA Discussion

I receive a 1098-T form my school. I am not sure if the amount on box 5 is taxable or not. How can I determine if that amount is taxable. Last year I paid a CPA to file my taxes and he included that amount in AGI. Is that correct
What about is Box 5 is less that Box 2
What about is Box 5 is less that Box 2

How others found here:

  • 1098 T box 5
  • 1098-T SUBTRACT 1099-Q
  • 1098t questions for box 5

4 Answers



  1. tro on Mar 24, 2012 Reply

    without seeing your return from last year and the appropriate statements, the only thing I can tell you is that if you were awarded financial aid which you did not use for education expenses, it would be taxable income to you

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  2. Simon on Mar 24, 2012 Reply

    The amount in box 5 is for scholarships or grants that you were paid. That goes towards the amounts in box 2 that you were billed for tuition and other related expenses. If box 5 is greater than box 2 and you spent the difference on something that was related to your tuition (like beer) then it is taxable.

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  3. Lynne on Mar 24, 2012 Reply

    If box 5 less than box 1 (not box 2) then there is not any taxable income.

    Otherwise, take the box 5 amount subtract box 1 and subtract any other eligible expenses like books. This will be taxable scholarship.

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  4. Judy on Mar 24, 2012 Reply

    If box 5 is less than box 2, it says that your tuition and fees were more than your grants and scholarships – then box 5 is not taxable income. If your grants and scholarships are more than your eligible expenses, then the excess is taxable. Remember that room and board for example are NOT eligible expenses.

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