1098-T Tax Information

The Form 1098-T is a statement that colleges and universities are required to issue to certain students. It provides the total dollar amount paid by the student for what is referred to as qualified tuition and related expenses (or “QTRE”) in a single tax year.

There are potentially many reasons for this discrepancy. First, the amount in Box 1 only represents amounts paid for qualified tuition and related expenses (QTRE) and does not include payments made for room and board, insurance, health service fees, or parking which, though important, are not considered mandatory education expenses for tax purposes. Secondly, Form 1098-T reports amounts that the student paid in a certain year, and the pay date does not necessarily correspond to the dates that the classes were attended. For example, tuition for the Spring semester is typically billed in the prior year so a student may have paid tuition for the Spring semester in November even though classes don’t start until January. The best and most accurate source of information about the amounts that you paid for qualified tuition and related expenses will be your Fee Bills.

No, the University does not include amounts paid for books in Form 1098-T. You should consult with your tax advisor to determine if payments for books, equipment or fees should be considered when preparing your income tax returns and determining eligibility for education tax credits or deductions.

Typically, charges are posted to your student account in December for the Spring semester and in July for the Fall semester. Box 1 of Form 1098-T reflects payments made during the calendar year for qualified tuition and related expenses and it is not based on when the classes were attended or billed to the student account. Your Account Summary will show the dates payments were posted to your account and are a valuable resource for determining the semesters that are included in your Form 1098-T. You can access your Student Account by term through the MyLander portal. To view your student charges and payments, go to Student Highlights and select Student Payments/Payment Plans/eRefunds/1098Ts. Choose the term you wish to review.

For Form 1098-T purposes, fellowships are considered financial aid and will be reported in Box 5 as a (scholarships, grants, fellowships). Form 1098-T reports activity occurring in the calendar year. Therefore, if the total aid you received during the calendar year (reportable in Box 5) exceeds the qualified tuition and related expenses (QTRE) paid during the same calendar year, you will not receive a Form 1098-T.

Some May graduates will not be issued a Form 1098-T because there is a possibility that payments for QTRE for Spring were made on or before December 31 of the preceding calendar year. If a student paid for the Spring semester and any other outstanding QTRE charges in the preceding calendar year, then the student would not receive a Form 1098-T.

Form 1098-T reports payments received from the student for qualified tuition and related expenses (Box 1) during the preceding calendar year. However, if the student receives scholarships, grants and/or fellowships in the preceding year in excess of the amounts they paid in QTRE, the University is not required to issue a Form 1098-T to the student. When determining your eligibility for education related tax credits and deductions, you will need to report the amount you paid for qualified education and related expenses. Therefore, your Student Account will be the best and most accurate source of information for amounts paid for qualified education and related expenses. This is true regardless of whether you receive a Form 1098-T or not.

The University is not required, by the IRS, to furnish a Form 1098-T in the following instances:

• If payments are for courses for which no academic credit is offered, even if the student is otherwise enrolled in a degree program.
• If the enrolled student is a nonresident alien, unless requested by the student.
• Students whose qualified tuition and related expenses are entirely waived or paid entirely with grants/scholarships.
• Students for whom you do not maintain a separate financial account and whose qualified tuition and related expenses are covered by a formal billing arrangement between an institution and the student's employer or a governmental entity, such as the Department of Veterans Affairs or the Department of Defense.

Please contact the Help Desk at (864) 388-8234 or email help8234@lander.edu to have your MyLander password reset in order to access to your Student Account information.

We are unable to provide tax advice. For guidance you may want to consider IRS Publication 970 in addition to the IRS’s guide to Choosing a Tax Professional.

To help ease the financial burden for South Carolina college students and their families, the South Carolina General Assembly has recently increased its income tax credit for eligible students for tuition paid to South Carolina colleges and universities. To claim up to $1,500 in tuition tax credits, a Form SC 1040 must be filed. When preparing the South Carolina income tax return, Form I-319 Tuition Tax Credit must be completed. This form is included with all state individual income tax booklets. To determine if you are eligible, and for more information about the tax credit, please visit the South Carolina Department of Revenue Tuition Tax Credit website.